President Trump’s domestic policy bill includes a major shift in energy funding — ending subsidies for wind and solar while adding a new tax on future projects. Renewable advocates say the move could stall investment, but supporters argue it’s time to stop taxpayer handouts.
Key Facts:
- Senate Republicans inserted provisions into a 940-page domestic policy bill to end federal subsidies for wind and solar power by 2027.
- The bill also adds a new excise tax on wind and solar projects that begin after 2027 unless they meet strict supply chain rules.
- Electric vehicle and residential solar tax credits would also be eliminated under the legislation.
- The White House praised the bill, calling green tax credits “a giant SCAM.”
- Tax incentives would be preserved for nuclear, geothermal, hydro, and carbon capture projects.
The Rest of The Story:
Senate Republicans quietly added provisions to President Trump’s sweeping domestic bill that would phase out subsidies for wind and solar power by 2027.
Beyond ending tax credits, the legislation would impose a new tax on future renewable projects that fail to meet complex supply chain requirements — particularly targeting reliance on China.
Industry leaders were caught off guard.
“This is how you kill an industry,” said Bob Keefe of E2.
Jason Grumet from the American Clean Power Association said the policy’s surprise rollout caused early morning alarm calls.
The Rhodium Group estimated that these changes could slash renewable installations by up to 72% over the next decade.
Even some typically aligned groups voiced concern.
The U.S. Chamber of Commerce and energy advocate Alex Epstein both criticized the excise tax, even while supporting the removal of subsidies.
Meanwhile, new benefits were added for domestic coal production and technologies like nuclear and carbon capture, revealing a sharp realignment of U.S. energy priorities.
The One Big Beautiful Bill gets rid of over a half $1 trillion in subsidies that are paid for by American taxpayers, while at the same time reducing energy prices for all Americans. pic.twitter.com/LfnUyEF6Em
— Secretary Chris Wright (@SecretaryWright) June 29, 2025
Commentary:
This bill marks a much-needed course correction in U.S. energy policy.
For years, American taxpayers have footed the bill for intermittent and unreliable energy sources.
Wind and solar may have captured headlines, but they’ve failed to consistently power homes and businesses at scale without heavy federal support.
Cutting the subsidies is the first logical step.
If an industry can’t survive without constant government handouts, then it shouldn’t be propped up artificially.
Free markets should decide winners, not federal tax credits fueled by political agendas.
The excise tax may be a heavy-handed addition, but the underlying point is valid: why should American energy policy rely on Chinese supply chains?
The bill sends a strong message that energy independence means using domestic resources and technologies that work — not chasing “green dreams” made in Beijing.
Critics scream about lost investment, but the truth is, the same groups have exaggerated claims for years.
They said the sky would fall without subsidies — yet the energy market adapts, especially when driven by real demand and innovation, not political favoritism.
There’s also a common-sense pivot happening in the bill.
It preserves support for nuclear, geothermal, and carbon capture — energy sources that actually reduce emissions while delivering consistent power.
If you’re serious about emissions, you support nuclear.
If you’re not, you cling to windmills.
Electric vehicle credits and rooftop solar incentives are also on the chopping block.
That’s a smart move.
Let car buyers and homeowners make their own decisions without distorting the market with tax gimmicks.
Ultimately, this shift isn’t about killing renewables — it’s about stopping reckless government spending on inefficient technologies.
If wind and solar are as competitive as their advocates claim, they’ll thrive on their own.
If not, taxpayers shouldn’t be forced to bankroll the experiment.
The Bottom Line:
Senate Republicans have proposed a bold rollback of wind and solar subsidies while steering investment toward more reliable and strategic energy sources.
The move has rattled the renewable industry but reflects growing frustration over endless taxpayer support.
With new taxes and tighter rules in place, the U.S. may be entering a new era of energy realism — one that prioritizes reliability, independence, and fiscal discipline.
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