Wind and Solar Subsidies to End

Trump will end wind and solar subsidies with an executive order. There will be more lawsuits.

On Monday, President Trump directed federal agencies to strengthen provisions in the One Big Beautiful Bill Act that repeal or modify tax credits for solar and wind energy projects.

In an executive order, Trump said the renewable energy resources were unreliable, expensive, displaced more dependable energy sources, were dependent on foreign-controlled supply chains and were harmful to the natural environment and electric grid.

All of that is true, and we mostly rely on China.

The order directs the Treasury department to enforce the phaseout of tax credits for wind and solar projects that were rolled back in the budget bill passed by Congress and signed into law by Trump last week.

It also directs the Interior department to review and revise any policies that favor renewables over other energy sources.

Both agencies are required to submit a report to the White House within 45 days detailing actions taken.

The One Big Beautiful Bill Act effectively ends renewable energy tax credits after 2026 if projects have not started construction.

Trump’s July 7 executive order, titled “Ending Market Distorting Subsidies for Unreliable, Foreign Controlled Energy Sources” has a stated mission of “eliminating subsidies for unreliable ‘green’ energy sources like wind and solar in furtherance of the One Big Beautiful Bill Act.” The OBBA did not outright eliminate these tax credits, but rather expedited the phase-out.

In addition to attempting to speed Treasury guidance on FEOC, the order also directs the Dept. of the Interior to review its department regulations, guidance, policies and practices to “determine whether any provide preferential treatment to wind and solar facilities in comparison to dispatchable energy sources” within 45 days of budget bill enactment. The DOI, via the Bureau of Land Management, approves wind and solar projects on public lands.