US renewables lose momentum

US renewables lose momentum

The US solar industry has been ousted in new legislation under the Trump administration that prioritises reliable energy.

One piece of legislation that appeared to be of significance, in America’s shift to reliable energy, was the proposed tax reforms that would have significantly reduced the value of tax credits for renewable energies.

Although this was largely defused by the final version of signed into law, the reforms could still have an adverse effect on renewables due to the reduction in corporate tax credits, from 35 to 21pc, that large companies investing in renewable energy benefit from.

Meanwhile, coal and uranium could see significant growth in the US markets as the Department of Energy (DoE) opens public discussion around new regulations on power pricing, which encourage “reliability and resiliency”. The proposed rules will reward electricity producers that can maintain 90 days’ worth of supplies to ensure there are continuous provisions.

The biggest restriction to the US solar industry is the prospect of new taxes on imports, which will significantly increase the cost for solar panel manufacturers.

Leave a Comment

Your email address will not be published. Required fields are marked *

*