The One Big Beautiful Bill Act, signed by President Donald Trump on July 4, 2025, is expected to harm the environment and increase energy costs for Americans. The bill slashes incentives for wind and solar energy, batteries, electric cars, and home efficiency, while expanding subsidies for fossil fuels and biofuels.
This decision contradicts strong public support for renewable energy and stifles the growth of clean technologies that could rapidly cut emissions. Renewable electricity sources like wind and solar power generate over 90% of new electricity added nationally and globally in recent years. However, the bill’s provisions limit tax credits for equipment manufacturing and deployments of renewable energy and batteries.
The phaseout of subsidies for wind and solar farms will be particularly hard hit, with projects needing to commence construction by mid-2026 or come online by the end of 2027 to receive tax credits. The bill also restricts the use of Chinese-made components in these projects, making it an “unworkable” provision according to experts.
According to Princeton University professor Jesse Jenkins, the bill will result in wind and solar power generating 820 fewer terawatt-hours by 2035 than under previous policies. This is equivalent to more power than all US coal-fired power plants generated in 2023. BloombergNEF has described the bill as a “nightmare scenario” for clean energy proponents.
The Republican-led bill also cuts tax credits for electric vehicles, heat pumps, and efficient windows, making it harder for Americans to reduce their carbon footprints and energy costs. The bill’s support for biofuels and fossil fuels, such as ethanol and biodiesel, will lead to increased emissions and land use.
Overall, the One Big Beautiful Bill Act is expected to increase household energy costs by over $280 per year by 2035 and leave America’s clean energy transition behind China, which is leading in solar and wind power deployment. The bill’s provisions are unique in their harm to the climate and American wallets, making it a uniquely damaging piece of legislation for the world.
Source: https://theconversation.com/big-beautiful-bill-will-have-americans-paying-higher-prices-for-dirtier-energy-260588