U.S. Senator Lindsey Graham (R-South Carolina) has introduced the Disaster Zone Energy Affordability and Investment Act, a bill designed to help South Carolinians affected by Hurricane Helene and other natural disasters. The legislation aims to allow energy companies to use unused tax credits from previous years to repair damaged infrastructure more quickly and reduce costs for customers.
“When Hurricane Helene rolled through South Carolina, it decimated power lines, leaving families without power for days, and in some cases weeks. The road to recovery is costly and still ongoing more than a year later,” said Graham. “I am pleased to introduce the Disaster Zone Energy Affordability and Investment Act, which incentivizes energy companies to support reconstruction efforts in communities hit hard by Helene and other natural disasters. By allowing energy companies to utilize unused tax credits, it will spur recovery and in time, pass savings onto the consumer. This legislation is a win-win for South Carolina.”
The bill is supported by several energy companies, including Duke Energy, which operates extensively in South Carolina. U.S. Senator Maria Cantwell (D-Washington) is cosponsoring the legislation.
Under current law, businesses can transfer or sell certain energy tax credits but face limits on how much they can use; these credits are capped at covering up to 75 percent of a company’s tax liability and cannot be applied retroactively or prospectively. The proposed legislation would let eligible companies use these credits beyond existing restrictions if they invest in areas officially designated as disaster zones by either the President or a state governor.
To qualify for full benefits under the act, investments must support rebuilding damaged energy infrastructure in disaster zones. The goal is to lower costs for reconstruction projects and enable faster community recovery after disasters.
Senator Graham represents South Carolina in the U.S. Senate and serves as chairman of the Senate Budget Committee while sitting on several other committees such as Judiciary and Appropriations. He advocates for national defense and fiscal responsibility as part of his work in Congress according to his official website. Graham was first elected to the Senate in 2002 and provides assistance on federal matters for constituents.
