Congress passed the GOP's big spending bill, stripping away resources for renewable energy projects.

Policy & Regulation Impact - The passage of a spending bill is expected to cut Medicaid and food assistance programs while increasing funding for deportation efforts [1] - The bill rolls back tax credits for wind, solar, energy efficiency, and electric vehicles that were part of a 2022 bill aimed at reducing US greenhouse gas emissions by approximately 40% by 2030 [2] - Republican districts that previously benefited from clean energy tax credits are now impacted by the cuts [5] Energy Market Dynamics - Efforts to boost fossil fuels and halt renewable energy projects may lead to increased pollution [3] - Wholesale electricity prices could potentially rise by 25% over five years due to reduced investment in wind and solar energy and increased reliance on gas-fired power plants [3] - Rising electricity demand driven by AI, domestic manufacturing, and electric vehicle adoption is occurring simultaneously with cuts to renewable energy incentives [4] Renewable Energy Sector - The reduction in incentives for renewable energy projects is considered unfavorable given the increasing electricity demand [4] - Gas-fired power plants, unlike solar and wind, incur fuel costs, making them a less economically stable option in the long term [4]