Trump's executive order aims to end wind and solar subsidies

On Monday, U.S. president Donald Trump directed federal agencies that they should strengthen the provisions of the One Big Beautiful Bill Act which repeal or modify tax credits for solar and wind projects.

In an executive directive, Trump stated that renewable energy resources are unreliable and expensive. They also displace more reliable energy sources and depend on supply chains controlled by foreigners.

The order instructs the Treasury Department to enforce the phase-out of tax credit for wind and solar project that was rolled back by the budget bill approved by Congress and signed by Trump last weekend.

The Interior Department is also directed to review any policies that favour renewable energy over other sources of energy.

Within 45 days, both agencies must submit a detailed report detailing the actions taken to the White House.

The One Big Beautiful Bill Act ends the renewable energy tax credit after 2026, if no projects have started construction. The construction of wind and solar projects that begin after 2026 must be completed by the end in 2027. Under the previous law, developers of projects could claim a 30% credit on their taxes up to 2032. (Reporting and editing by Stephen Coates; Nichola Groom)

(source: Reuters)