Energy Resilience, National Security, and Economic Growth

To Members of Congress and U.S. Policymakers,

We write with renewed urgency regarding energy policy that is critical to the United States of America. House Republicans have expressed regret in a recent letter over provisions in the “One Big Beautiful Bill” that made cuts to the Investment Tax Credit (“ITC”) which we believe are crucial for maintaining energy independence in the United States as well as competitive advantage over China in the AI data center race.

As leaders who understand the importance of national security, AI dominance, and American manufacturing, we urge you to protect and expand the federal Investment Tax Credit—a critical mechanism that meets the United States’ skyrocketing energy demands from data centers (estimated to increase 15.8% by 2029) and that will help America to keep up with China in the Artificial Intelligence race. Increasing electricity production in the US is crucial from which ever sources are the quickest to deploy and the most cost-effective. Battery storage in particular is both fast and provides the critically needed baseload for the grid.

The cost of electricity for both individuals and businesses would skyrocket in a world without the ITC and countless jobs would suffer. Just this month the state of New Jersey Public Utility Commission announced an estimated 20% increase in electricity prices and largely due to the demand of AI data centers.

The ITC is often misunderstood as a niche climate incentive. In reality, it is a keystone policy that strengthens the U.S. energy grid, bolsters domestic manufacturing, creates new jobs, enhances the reliability of fossil fuel generation, and supports national security at a time of growing geopolitical and technological threats. The data, trends, and investments outlined below show how the ITC directly supports America’s priorities and why now is not the time to pull back.

We respectfully submit this letter for your consideration and urge your support in continuing—and strengthening—this high-impact Federal policy. What we are requesting is a 3 year period to begin construction from bill signature. Anything less than this will delay data center projects and put China in the pole position of the AI race, thereby threatening our national security.

Sincerely,

Members of the American Energy Independence Coalition

Alex Shoer — Managing Partner, GridVest Partners
Marc Crowdis — Founder and CEO, 127 Energy
Dan Martin — Founder and CEO, Amped Solutions
Noah Shulruff — Director of Business Development, Arco Murray Power Solutions
Scott Ameduri — President and Co-Founder, Enerlogics Networks
Craig Lewis — Founder and Executive Director, Clean Coalition
Ralph Ciarlanti III — President and CEO, Industria Power
Steven Wilburn — CEO, VerdeWatts, LLC
Elliot Jessup — CEO, Symmetric Energy
Dover Janis — Founder and CEO, Ivy Energy

Executive Summary

The United States is entering a new era of energy and technological demand. As data centers expand rapidly and electricity consumption soars, the reliability, affordability, and security of our power grid are becoming national imperatives. Preserving and strengthening the Investment Tax Credit (ITC) is a critical step in meeting this moment. The ITC has become an essential tool—not just for clean energy, but for national security, fossil fuel optimization, and domestic manufacturing. Lawmakers across the political spectrum should view the ITC as a foundational pillar of economic strength and energy independence.

1. National Security and Data Center Resilience

The proliferation of data centers is accelerating, driven by the AI revolution and increased digital infrastructure. These facilities are critical to national security, economic activity, and defense systems. Powering them reliably is paramount. Experts forecast a 20% increase in electricity demand by 2035, and a 40% increase by 2045

Energy professionals at Amazon, Google, Meta, and Microsoft are already deploying battery energy storage systems paired with solar (BESS+Solar) as their preferred solution to meet these growing energy needs. These systems are fast to deploy—often within 6 months to 2 years—and provide built-in redundancy and energy resilience (Source: U.S. EIA).

If data centers migrate to foreign jurisdictions due to unreliable domestic energy infrastructure, it could pose a significant threat to U.S. national security. By supporting energy infrastructure at home—particularly through technologies like BESS+Solar—we ensure the U.S. retains its leadership in digital innovation. The ITC is essential in making these projects economically viable and scalable at the pace needed.

2. Economic Impact: American Jobs and Manufacturing

The ITC has catalyzed a manufacturing renaissance across the United States. The battery storage industry alone contributed over $10 trillion in domestic economic activity in 2023 (Source: Department of Energy Estimate via PV Magazine). This boom is powered by the construction and expansion of battery factories in Arizona, Florida, Michigan, and Tennessee. Facilities like American Battery Factory, Our Next Energy (ONE), Saft, and AESC are already online, with others—including Ford, GM, and BlueOval SK—set to come online over the next few years. These investments are creating thousands of high-quality American jobs and reducing our reliance on foreign supply chains.

The ITC directly supports these developments by lowering project risk, attracting capital, and making domestic battery production competitive. Eliminating or weakening the ITC would jeopardize this progress and threaten American leadership in one of the most critical industrial sectors of the next century.

BESS onshoring in the USA. Cutting off the ITC hurts jobs in these States.

3. Grid Reliability: Fossil Fuels + Storage = Smarter Energy

Battery energy storage is not in opposition to fossil fuels—it enhances them. When paired with coal or gas plants, batteries reduce the need for constant ramping, allowing these facilities to run more efficiently and respond more flexibly to demand fluctuations. This optimization reduces operating costs and emissions, while improving system stability.

This integrated approach supports “All of the Above” energy strategies favored by administrations focused on fossil fuel reliability and American energy independence. In fact, battery storage systems can be positioned as critical infrastructure upgrades that modernize fossil fuel assets while preserving their role in the grid. Maintaining the ITC ensures that storage continues to be deployed alongside both renewables and traditional energy sources, making the entire system stronger and more efficient.

4. Lowest-Cost Energy Pathway

While there is a backlog of 5 years for gas turbines and nuclear powerplants take about 5-12 years to build, it takes about 6-48 weeks to install solar + BESS. With the growing demand for energy from AI data centers and the consistently rising costs of electricity, we need more affordable and faster energy deployment.

In 2024 84% or 50 GW of electricity was installed in the US from solar + BESS alone. Battery storage and solar are not only fast and flexible—they are the most cost-effective energy resources available today. According to Lazard’s 2023 Levelized Cost of Energy (LCOE) analysis, utility-scale solar with storage costs between $46 and $102 per megawatt hour, making it more affordable than coal, nuclear, or natural gas plants. It is also by far the fastest route to deployment, for example Nuclear projects can take ten years or more.

Levelized Cost of Energy (LCOE) by Generation Type:

This cost advantage means that projects supported by the ITC are not just environmentally beneficial—they are fiscally responsible. The ITC enables developers to offer lower rates, utilities to stabilize pricing, and taxpayers to get more return on energy investments. In an inflation-conscious environment, this kind of fiscal efficiency should be protected, not curtailed.

5. A Bipartisan Opportunity for Leadership

Preserving the ITC is a rare opportunity to unite diverse policy goals under one common-sense program. For those focused on revitalizing U.S. manufacturing, the ITC supports factories and job creation. For national security advocates, it reinforces energy independence and safeguards our data infrastructure. For those committed to a strong fossil fuel presence, the ITC enhances grid operations and keeps legacy assets viable. And for climate advocates, it continues to push the country toward lower emissions.

Congress has the chance to act on a policy that works—for rural towns and global corporations, for clean tech and fossil fuel stakeholders, and for both near-term stability and long-term strategy. The Investment Tax Credit is one of the most effective tools we have for building a resilient, secure, and competitive energy system.

6. Fiscal Conservatism and Market Efficiency
The ITC isn’t a blank check—it’s a performance-based incentive that reduces federal outlays over time by stimulating private investment, reducing peak electricity costs, and lowering long-term grid expenditures. According to the Joint Committee on Taxation, every dollar of ITC claimed results in over $2 of private capital deployed. That’s a market-based solution rooted in conservative principles: incentivize innovation, reduce risk, and allow American businesses to compete and win in the global marketplace. Removing the ITC would shift more cost burdens back to ratepayers, governments, and utilities—undermining both fiscal discipline and grid stability.

7. Rural and Energy-Producing States Stand to Gain the Most
States that have historically powered America—whether through coal, oil, gas, or hydro—are now poised to lead the next chapter of energy leadership. The ITC is enabling rural counties in states like Texas, Ohio, West Virginia, and Louisiana to attract new energy investment, repurpose existing infrastructure, and revitalize local economies. These areas have the land, workforce, and transmission access to become powerhouses in grid modernization. Preserving the ITC ensures that these communities aren’t left behind but are instead equipped to lead in the all-of-the-above energy future.

Conclusion and Call to Action

The Investment Tax Credit is far more than a clean energy incentive. It is a strategic lever for national security, a catalyst for American manufacturing, a driver of energy cost savings, and a partner to both renewables and fossil fuels. Weakening or eliminating the ITC would stall economic progress, threaten domestic energy reliability, and undercut our competitiveness in the global energy transition.

We urge elected officials to preserve and expand the ITC—for the future of American innovation, independence, and prosperity.

Member Companies:

The Case for Preserving the ITC

Energy Resilience, National Security, and Economic Growth

Levelized Cost of Energy (LCOE) by Generation Type:

Speak up! And Reach Out to Your Senators

American Energy Independence Coalition