Overview
- On July 7, Congress passed and President Trump signed a budget bill that rolls back key clean energy measures from the 2022 Inflation Reduction Act.
- The legislation cuts investments in solar and wind power, battery manufacturing, power grid upgrades and electric vehicle subsidies.
- It mandates auctions for oil and gas development on federal lands, lowers operating fees for fossil fuel companies, grants extra tax breaks to oil and gas producers and subsidizes metallurgical coal.
- The bill ends wind and solar tax credits unless projects begin producing electricity by 2028 or start construction within the next year.
- Following enactment, Trump ordered the Treasury Department to restrict broad safe harbors for green tax credits and directed Interior to eliminate policies that favor renewable projects.