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American Focus > Blog > Environment > Will new Interior Department rules shackle wind and solar?
Environment

Will new Interior Department rules shackle wind and solar?

Last updated: July 25, 2025 6:30 am
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Will new Interior Department rules shackle wind and solar?
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President Trump’s recent signing of a massive budget bill has sparked controversy and concern within the renewable energy industry. The bill includes provisions aimed at curtailing tax credits that have been instrumental in the growth of wind and solar energy in the United States. While the primary purpose of these measures was to extend tax breaks for high-earning Americans, some Republicans felt that the bill did not go far enough in limiting the expansion of wind and solar power.

These concerns were addressed when President Trump reportedly assured his party’s right wing that he would use his executive authority to further impede the growth of renewable energy sources. U.S. Representative Chip Roy of Texas expressed optimism, stating that they believed over 90% of future projects would be terminated, citing discussions with lawyers in the administration.

Last week, the Department of the Interior, under the direction of President Trump, announced new guidelines for wind and solar developers. These guidelines mandate that all federal approvals for clean energy projects undergo an “elevated review” by Interior Secretary Doug Bergum, a Trump appointee. The new procedures outlined in the guidelines require personal approval from Bergum’s office, rather than being delegated to department bureaucrats as was previously customary. Experts fear that this could result in a significant slowdown for developers and potentially lead to the cancellation of wind and solar projects on public land.

While only 4% of existing renewable energy projects are located on public land, industry insiders are concerned about the broader implications of the updated regulations. Some worry that private projects, which may intersect with federal lands or habitats for endangered species, could also be impacted. The uncertainty surrounding the enforcement of these guidelines has left many developers in limbo, unsure of how to proceed with their projects.

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Despite the potential challenges posed by the new regulations, some industry experts remain cautiously optimistic. Jason Kaminsky, CEO of kWh Analytics, believes that the rules may only affect a minority of assets. An internal report from Roth Capital Partners estimated that only 5% of projects on private land would be impacted by the guidelines. However, the true extent of the regulations’ impact remains to be seen as the permitting process unfolds.

Overall, any measures that slow the deployment of renewable energy are concerning for the American energy landscape. With the majority of new energy coming online in 2024 being renewable, the pushback against wind and solar projects could hinder progress towards a more sustainable energy future. President Trump’s efforts to revoke funding from green energy projects and cancel offshore wind leases raise questions about how the nation will achieve the administration’s goal of “energy dominance” in the coming years. As the industry grapples with uncertainty and potential setbacks, the future of renewable energy in the U.S. remains uncertain. As the shift towards renewable energy sources continues to gain momentum, there is a concerning trend emerging in the energy market. Instead of new capacity coming online in the form of cheap renewables, existing gas plants are running longer to meet the increasing demand for energy. This has led to a spike in gas demand and prices, impacting both power plants and household consumers.

The implications of this scenario are far-reaching and worrisome. With existing gas plants being relied upon more heavily, there is a risk of supply shortages and potential disruptions in the energy grid. This not only poses a threat to the stability of the energy system but also raises concerns about the environmental impact of increased gas consumption.

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From a financial standpoint, the rise in gas prices is putting a strain on both power plants and household consumers. Power plants are facing higher operational costs, which could ultimately lead to increased electricity prices for consumers. At the same time, households are feeling the pinch as they see their energy bills rise due to the higher cost of gas.

This situation underscores the importance of a balanced and diversified energy mix. While renewables play a crucial role in reducing greenhouse gas emissions and promoting sustainability, it is essential to ensure that there is sufficient capacity in place to meet the energy needs of the population. This includes investing in new renewable energy projects to offset the reliance on gas and prevent a scenario where existing plants are overburdened.

In conclusion, all signs point towards the current trajectory being unsustainable and potentially detrimental to both the energy market and consumers. It is imperative for policymakers and industry stakeholders to address these challenges proactively and work towards a more resilient and cost-effective energy future. Failure to do so could lead to further price hikes, supply shortages, and environmental consequences that could have far-reaching implications for society as a whole.

TAGGED:DepartmentInteriorrulesshacklesolarwind
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