The American Clean Power Association reports a slowdown in U.S. renewable energy growth due to federal policies. Despite $15.2 billion investments in new projects, only a 1% increase in clean energy capacity was seen compared to last year. Solar power installations fell by 23%, with fewer power purchase agreements and rising costs causing industry uncertainty.
Federal policy obstacles and bureaucratic delays hinder energy investments, threatening billions in planned projects. The Dept. of Energy and tariff changes have led to decreased clean power purchasing and planning. Energy Secretary Chris Wright labeled renewable energy a “parasite” on the grid, emphasizing a need for consistent, 24/7 electricity sources in electricity markets.
In the first half of 2025, there was a 32% decrease in capacity contracted through power purchase agreements compared to the previous year. Battery energy storage and wind power agreement announcements significantly dropped. Corporate PPA prices rose by 6% from Q1 to Q2, reflecting an unstable purchasing environment. Industry uncertainty led to stalled growth in procurements.
As of June 30, the U.S. had over 330 GW of clean power capacity, sufficient to power 81 million homes. Procurement through PPAs dropped by 32%, and other agreements fell by 48% compared to the previous year. The clean power pipeline stagnated, storage capacity increased, and construction was highest in Texas, Arizona, California, New Mexico, and Wyoming.
Arizona surpassed 10 GW of clean power capacity, adding significant solar and storage capacity. Texas, Indiana, Arkansas, Kansas, and Michigan mainly added solar, while Illinois focused on wind. Eight of the top 10 states for clean power additions in Q2 were Republican-leaning. The ACP emphasizes the need for policies that support all forms of energy amid rising electricity demand.
“Clean energy is essential for meeting electricity demand. Limiting power production through policies only hurts consumers,” says ACP CEO Jason Grumet. The full report is available on the ACP website. 1. The stock market saw a sharp decline today, with the S&P 500 dropping 2.5% and the Dow Jones falling 600 points. Investors are concerned about rising inflation rates and potential interest rate hikes by the Federal Reserve.
2. A new study published in a medical journal reveals that the COVID-19 vaccine is highly effective in preventing severe illness and hospitalization. The study found that vaccinated individuals were 95% less likely to require hospitalization compared to unvaccinated individuals.
3. In political news, President Biden announced a new infrastructure plan that includes $2 trillion in funding for roads, bridges, and clean energy initiatives. The plan aims to create millions of jobs and address climate change issues.
4. The United Nations released a report stating that global carbon dioxide emissions reached a record high in 2021, despite efforts to reduce emissions. The report warns of dire consequences for the planet if immediate action is not taken to curb greenhouse gas emissions.
Read more at Yahoo Finance: Group Notes ‘Concerning Signs’ For Clean Energy as Feds Create Chaos