On May 22, 2025, the U.S. House of Representatives narrowly passed President Donald Trump’s sweeping tax and spending legislation, known as the “One Big Beautiful Bill,” with a 215–214 vote. This bill proposes significant rollbacks of clean energy incentives established under the Inflation Reduction Act (IRA), including the elimination of the 30% federal tax credit for residential solar installations after December 31, 2025. It also accelerates the phase-out of tax credits for wind, solar, and battery storage projects to 2028 and imposes stricter eligibility requirements, such as disqualifying projects that do not commence within 60 days of the bill’s enactment. Time+6New York Post+6Hart Energy+6ABC News+2Reuters+2Reuters+2
The immediate market reaction was stark: major solar companies like Sunrun, Enphase Energy, and First Solar experienced significant stock declines, with Sunrun’s shares plummeting nearly 41%. Analysts warn that the removal of these incentives could devastate the residential solar industry, which heavily relies on leasing models and tax credits. Gold-Eagle Cooperative+3Barron’s+3Reuters+3WSJ
Beyond the financial markets, experts project that the bill could result in the loss of over 830,000 jobs and increase household energy bills by billions of dollars. The Solar Energy Industries Association (SEIA) cautions that the rollback of clean energy incentives may lead to a significant energy shortfall, higher electricity costs, and hinder the U.S.’s position in global clean energy leadership. The GuardianElectrek+1Hart Energy+1
The legislation now moves to the Senate, where its future remains uncertain. Some Republican senators have expressed concerns over the abrupt elimination of clean energy tax credits, emphasizing the potential negative impacts on energy projects and job creation in their states. As the Senate deliberates, stakeholders in the renewable energy sector are closely monitoring developments, advocating for the preservation of incentives that have been instrumental in driving the U.S. clean energy boom.ABC News
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