# 119-s-1721: Energy Freedom Act

119-s-1721, Energy Freedom Act, is a 119th Congress bill sponsored by Sen. Lee, Mike [R-UT] (R-UT); status introduced; PRIA reads it as touching household money (as of 2025-12-21).

- Canonical: https://policyrisk.com/legislation/119-s-1721
- As of: 2025-12-21
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-s-1721
- Congress: 119
- Title: Energy Freedom Act
- Status: introduced
- Introduced: 2025-05-13
- Sponsor: Sen. Lee, Mike [R-UT] (R-UT)
- Cosponsors: 0
- Policy area: Taxation
- Touches household money: yes
- Last recorded action: 2025-12-21

## Summary

**This Act repeals most federal tax incentives for clean energy, energy efficiency, clean vehicles, and alternative fuels.** It phases out those credits for property placed in service after December 31, 2025 and makes wide conforming changes across the tax code to remove references to the repealed incentives. - Homeowners and households will lose multiple tax supports for energy upgrades and residential clean energy. This removes credits for energy efficient home improvements and residential clean energy systems. - Car buyers and charging networks will no longer qualify for several vehicle and refueling credits. The bill repeals new and previously owned clean vehicle credits and the alternative fuel vehicle refueling property credit. - Renewable energy, fuels, and clean technology industries face broad cuts to production and investment incentives. The repeal covers credits for renewable electricity, carbon capture, clean hydrogen, sustainable aviation fuel, biodiesel and renewable diesel, advanced manufacturing, zero emission nuclear, and clean electricity investment, plus related tax provisions and elective payment or credit transfer rules.

## Provisions PRIA read

- End commercial energy deduction: cost, high. If enacted, the special tax deduction for energy‑efficient commercial buildings would be repealed for property placed in service after December 31, 2025. Building owners and firms would no longer be able to claim that deduction for new qualifying property. That would raise taxable income or reduce…
- Remove many clean-energy tax credits: cost, high. If enacted, a long list of federal clean‑energy tax credits would be repealed or ended for items placed in service, sold, or acquired after December 31, 2025 (and some on January 1, 2026). Homeowners, buyers of qualifying clean vehicles, and businesses could no longer claim those credits for qualif…
- Shrink biofuel producer credit: cost, high. If enacted, the second‑generation biofuel producer credit would be narrowed by deleting and restructuring many parts of the credit. Biofuel producers and some farmers could receive smaller credits or face new limits under the revised rules. The bill text does not list replacement dollar amounts.
- End elective clean-credit payments: cost, medium. If enacted, taxpayers could no longer elect cash payments or transfer certain clean‑energy tax credits for taxable years beginning after December 31, 2025. Contractors, REITs, and other firms that used those options would lose a way to monetize credits and could see weaker cash flow.
- Remove separate petroleum tax rules: mixed, high. If enacted, the separate tax subchapter that treated petroleum would be repealed starting January 1, 2026. Refiners, importers, and other petroleum firms would face a changed tax framework. Some firms could pay more under the new rules, while others could pay less, and there could be downstream eff…

## Related bills

- 119-s-5653: Bipartisan American Affordability and Jobs Act of 2026
- 119-s-4952: Protecting American Taxpayers Act
- 119-s-1801: International Nuclear Energy Act of 2025
- 119-s-1249: Drone Integration and Zoning Act
- 119-s-62: America First Act
- 119-s-4280: SAFE Act

## Sources
- [119-s-1721 on Congress.gov](https://www.congress.gov/bill/119th-congress/senate-bill/1721)

## Related
- [119-s-5653: Bipartisan American Affordability and Jobs Act of 2026](https://policyrisk.com/legislation/119-s-5653)
- [119-s-4952: Protecting American Taxpayers Act](https://policyrisk.com/legislation/119-s-4952)
- [119-s-1801: International Nuclear Energy Act of 2025](https://policyrisk.com/legislation/119-s-1801)
- [119-s-1249: Drone Integration and Zoning Act](https://policyrisk.com/legislation/119-s-1249)
- [119-s-62: America First Act](https://policyrisk.com/legislation/119-s-62)
- [119-s-4280: SAFE Act](https://policyrisk.com/legislation/119-s-4280)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-s-1721 (as of 2025-12-21).