The Senate has officially given President Donald Trump’s “Big Beautiful Bill” a solid thumbs down for clean energy—think of it as a diet plan for renewable incentives, where kale is substituted with a deep-fried Twinkie. Advocates for renewable energy are sounding the alarm, warning that these changes could postpone project development, inflate electricity prices, and turn the U.S. into a competitive potato in the global energy market.
In a classic plot twist, the bill decided to ditch a wildly unpopular excise tax on wind and solar projects—it seems giving them a proper funeral wasn’t on the agenda. However, the bill still casts a pall over tax credits for wind and solar initiatives and introduces new foreign sourcing rules. It’s like telling your neighbor they can’t put up a fence because it might come from China, delaying or disqualifying perfectly good projects.
“This bill is like bringing a knife to a gunfight for America’s clean energy future,” said Nat Keohane, president of the Center for Climate and Energy Solutions (C2ES). “It’s a spectacular setback—akin to choosing a bicycle for a triathlon when everyone else is riding top-of-the-line sports cars. Wind and solar are vital for keeping our grid reliable and affordable, but don’t worry, just as we need all the electricity to fuel our new data centers and factories, we’re rolling back tax incentives like it’s some kind of retirement party.”
The bill takes a wrecking ball to several key provisions of the 2022 Inflation Reduction Act, the historical heavyweight champion of federal climate law. In the latest act of legislative gymnastics, we now have: tax credits for wind and solar farms evaporating into thin air by mid-2026—any projects not already digging holes will have to fend for themselves. Meanwhile, other zero-emission electricity sources get the VIP treatment with tax credits hanging around for a full decade.
Home energy upgrades? Well, they get a consolation prize as tax credits expire at the end of 2025. Rooftop solar and electric vehicle purchases will join the tax credit graveyard between late 2025 and mid-2026. And if you want any energy tax credits, get ready to sign a loyalty oath that disavows any ties to foreign “entities of concern”—because who doesn’t enjoy a little bureaucratic espionage drama?
Miraculously, the bill leaves out the highly controversial public lands sell-off led by Senator Mike Lee (R-Utah), who withdrew it after facing backlash similar to that of a cat at a dog show. This reflects Trump’s long-standing dislike for renewable energy as he marches to the beat of his “energy first” agenda—planting wind farms may not be on the list.
The timing couldn’t be worse, according to Keohane, who noted that electricity demand is suddenly on the rise. “After a long slump, America’s electricity demand is coming back like a bad sitcom,” he quipped. “Now is not the time to cut investment in reliable electricity sources. It’s almost like someone decided to stop breeding horses just because cars became popular.”
In a truly remarkable projection, modeling from C2ES suggests this Senate-passed legislation could wipe out 1.7 million jobs and funnel $197 billion in lost wages into the cosmic abyss by 2035. Meanwhile, Senator John Curtis (R-Utah), who had a hand in crafting the energy parts of the bill, was over the moon with the compromise, believing it offers developers a dependable path forward—unfazed by the sequestration of tax credits.
Senator Chuck Grassley (R-Iowa) hopped on the praise train for the bill’s support of Iowa’s biodiesel industry and jubilantly celebrated the removal of the punishing wind and solar tax. On the flip side, Democrats in the House Sustainable Energy and Environment Coalition (SEEC) lashed out at the bill, dubbing it the “Blackout Bill” for its propensity to inflate energy costs and cultivate frequent blackouts, which they poetically foresaw will boost household electricity bills by over $400 annually and annihilate hundreds of thousands of jobs. “The madness must be stopped,” they rallied, though one wonders if they might just be grasping at straws in a windstorm.