President Trump on Monday directed the Treasury Department to adopt a strict approach to limit which projects can get access to wind and solar tax credit.
Recently passed Republican MegabilPawan and Solar Tax Ends Tax Credit for CreditUntil solar or wind farms begin to produce electricity until 2028 – or they do not start construction in the next year.
Trump’s executive order asked its administration to limit which projects can be counted as starting construction.
In particular, he directs the Treasury Department to ban the use of broad safe ports until a sufficient part of any subject facility has been created. “
It also states that the department should try to stop “artificial acceleration or manipulation of eligibility”.
Trump also directed the internal department, which manages energy production on federal land and water, so that air and solar to see and eliminate any policies that give “preferential treatment” to the air and solar.
The Republican bill dramatically reduces the solar and wind incentives passed by Democrats in its 2022 inflation reduction act (IRA).
But, how far it was to go inside the GOP was a major point, with more conservative members mourned that the version of the Senate bill – which eventually passed through the House at the end of the previous week – was very generous.
Ralph Norman, one of the major holdouts, said he would vote for the bill after talking with the Trump administration as to how it would implement the Green Tax Credit Phaseout.
“We got an explanation of what is being implemented. We got an explanation of how IRAS is being dealt. We got an explanation on tax cuts. And yet we will meet on its nuances tomorrow. But no, I feel comfortable with it,”He said last week,
