A package of federal investments, loans, and tax credits in a new $433bn climate and tax package hammered out late Wednesday by Senate Democrats is a “historic step forward” in support of US offshore wind industry development, sector officials said.

The Inflation Reduction Act of 2022, while far smaller than the sweeping but unsuccessful $1.9bn Build Back Better climate and social spending bill that was the core of President Joe Biden's domestic agenda, nevertheless retains many of its beneficial provisions for the sector.