Shares of European renewable energy companies rise following revised US Senate bill

The shares of European renewable energy companies increased on Wednesday, after the U.S. Senate approved on Tuesday a revised version of its budget bill which was more favorable for wind power than an earlier version.

In a research note, Sydbank analysts state that "Last minute changes provide significantly improved conditions for the industry in comparison to the previous draft."

The "Big Beautiful Bill", signed by Donald Trump, makes it more difficult to develop solar and wind energy projects in the U.S.

The end date for wind and solar projects that start construction after this is 2027.

The revised Senate bill excludes from the deadline all projects that begin construction in the next 12 month.

As of 0837 GMT the shares of Danish wind turbine maker Vestas rose around 10%, while Nordex's German counterpart rose about 2%.

Vestas, and other renewable energy companies in Europe, have responded to the recent news about the bill. Vestas generated 39% of its revenue in the Americas last year.

Citi analysts stated in a report that the revised text removed a "cliff" for 2027 and extended the U.S. cycles into 2030.

They added that "we see significant incentives for the developers to place orders by H1'26 to lock in credits for in-service starting in 2028."

Orsted, a Danish offshore wind developer, and EDP, a Portuguese renewable energy company? Renovaveis grew between 3% and 5%.

RWE, the German utility that is also the second largest developer of offshore wind farm in the world, has risen by about 1%.

SMA Solar, a German supplier of solar power components, has seen its price jump by about 12%. It is now at its highest level since March. (Reporting and editing by Milla Nissi-Prussak in Gdansk; reporting by Jesus Calero, Marleen Kaesebier)

(source: Reuters)