Core Viewpoint - The cancellation of the Esmeralda 7 solar project by the U.S. Bureau of Land Management signifies a further escalation of restrictions on renewable energy under the Trump administration, impacting one of North America's largest solar projects [1]. Group 1: Project Details - The Esmeralda 7 project was planned to have a capacity of 6.2 gigawatts, intended to supply power to nearly 2 million households [1]. - The project involves the development of seven solar power plants and storage systems, covering approximately 62,300 acres [1]. - The project was initiated during the Biden administration's permitting process, contrasting with Trump's previous stance labeling renewable energy projects as a "scam" [1]. Group 2: Policy Changes - Since the beginning of the year, the Department of the Interior, led by Doug Burgum, has accelerated the approval of fossil fuel projects while tightening regulations on wind and solar projects [1]. - Two offshore wind projects by Equinor and Ørsted were previously interrupted due to government shutdown orders, which, despite eventual restoration, have undermined investor confidence [1]. Group 3: Energy Demand - The policy shift occurs amid a rapid increase in electricity demand in the U.S., driven by the rise of data centers due to AI capabilities, the proliferation of electric vehicles, and home electrification [1]. - NV Energy projects that electricity demand in Nevada will grow by 34% by 2035 compared to 2022 levels [1]. Group 4: Industry Response - The Solar Energy Industries Association criticized the government for ignoring legal frameworks, which they argue harms consumers, grid safety, and economic competitiveness [2]. - Although the Department of the Interior did not explicitly confirm the project's cancellation, it indicated that developers have agreed to adjust plans and may resubmit in a fragmented manner [2]. - NextEra has stated it will continue to advance the project's environmental assessment [2].