Core Viewpoint - The renewable energy sector, particularly in the U.S., is facing significant challenges due to the Trump administration's policies, leading to a crisis for companies like Sunnova Energy, which has seen its stock price drop over 60% following announcements of business viability concerns [2][3]. Group 1: Impact of Government Policies - Sunnova Energy is heavily affected by the Trump administration's freeze on climate change-related subsidies and loans, which were initially supported by the Inflation Reduction Act (IRA) under the Biden administration, allocating approximately $370 billion for clean energy initiatives [3]. - The offshore wind power sector is also experiencing setbacks, with the Trump administration halting leasing and approval processes for public land use, causing companies like Prysmian Group to abandon planned projects in the U.S. [3]. Group 2: Financial Trends in Renewable Investments - Global environmental financing is projected to reach approximately $470 billion in 2024, a decrease of about 30% from its peak in 2021, influenced by rising interest rates and inflationary pressures on component prices [1]. - The amount of "green loans" and "sustainable development linked loans (SLL)" is expected to decline by 27% from peak levels, reflecting a broader trend of reduced investment in environmental projects [1]. Group 3: Regulatory and Market Challenges - Increased scrutiny and criticism of "greenwashing" have led to stricter regulations, causing financial institutions to avoid labeling investments as environmentally friendly to mitigate backlash [4]. - The rising costs associated with offshore wind development have resulted in significant impairment losses for companies like Orsted, which reported a DKK 12.1 billion loss related to U.S. operations due to increased construction costs and interest rates [4]. Group 4: International Perspectives - Despite the challenges in the U.S., Japan's decarbonization financing is expected to continue its slow growth, although domestic companies may still feel the impact of the Trump administration's anti-ESG policies [5].