The U.S. House has passed a bill that frees certain fab projects from federal environmental permits, aiming to speed up the building of domestic chip factories, reports Bloomberg. This legislation, now awaiting President Joe Biden's approval, seeks to support a $400 billion investment in U.S. semiconductor manufacturing pledged by various chipmakers thanks to the U.S. CHIPS Act, while easing some of the regulatory delays associated with environmental reviews.
Some semiconductor industry leaders have been concerned that the environmental reviews required by the National Environmental Policy Act (NEPA) could delay the build-out of new fabs by months or even years. To address these concerns, the new bill outlines specific conditions under which semiconductor projects can bypass NEPA reviews. Projects that begin construction before the end of 2024, those financed through loans instead of grants, or those receiving less than 10% of their funding from CHIPS Act grants would qualify for an exemption. These measures aim to prevent lengthy delays that could stall key projects.
