AAEA releases statement regarding “One Big Beautiful Bill Act”
Arkansas Advanced Energy Association (AAEA), the business voice for energy in Arkansas, submitted letters to Senator John Boozman and Senator Tom Cotton Thursday opposing the House Budget Bill, commonly referred to as the “One Big Beautiful Bill Act.”
“While we strongly support fiscal responsibility and energy policy that puts America first, we believe key provisions in this bill would undermine U.S. national security, slow job creation, and reverse hard-won gains in energy independence,” AAEA Executive Director Lauren Waldrip said. “Specifically, we are most concerned by the bill’s abrupt repeal of critical energy tax credits and the elimination of credit transferability—two tools that are foundational to project development and private investment.”
AAEA and its members - spanning business, manufacturing, electric service providers, agriculture and educational institutions - have two specific concerns with the bill:
It replaces the long-standing “begin-construction” standard with a rigid “placed-in-service” requirement, combined with an unworkably short 60-day compliance window. This change ignores the realities of how energy infrastructure is built. Developers often face delays beyond their control—such as permitting backlogs or supply chain constraints. Without the flexibility to qualify credits based on when construction begins, viable energy projects will stall or be canceled outright. That means fewer Arkansas jobs, fewer local contracts, and fewer opportunities to expand our state’s energy economy.
It removes the ability to transfer credits, shutting out many small and mid-sized businesses that depend on this mechanism to finance their projects. Unlike large corporations with extensive tax appetites, these companies rely on transferability to attract capital and bring projects to life. Eliminating this option tilts the playing field toward incumbents and reduces competition in the energy market. Keeping transferability aligned with the 48E credit schedule is a common-sense way to support private investment without increasing government spending.
Beyond these two specific issues, the bill’s overall impact would reverse decades of strategic progress. Energy tax incentives originally enacted under Republican leadership have proven to be fiscally responsible, job-creating tools. They’ve driven down energy costs, reduced our reliance on foreign sources, and allowed Americans to choose energy solutions that fit their needs—all while leveraging private dollars over public ones.
AAEA represents a statewide coalition of businesses, manufacturers, electric service providers, agricultural leaders, and institutions working to keep energy affordable, reliable, and competitive in Arkansas. Our members are committed to market-based energy solutions that reduce costs, strengthen grid resilience, and attract private investment—particularly in rural and industrial communities that form the backbone of Arkansas’s economy.
To read AAEA’s full letter sent to Arkansas Senator Boozman’s office, please click here.