Senate Republicans shocked clean energy developers early Monday and inserted a thorough revision (OBBB) into President Donald Trump's $120 million “One Big and Beautiful Act” (OBBB). [emphasis, links added]
The last-minute amendment cuts wind and solar tax benefits, imposes excise tax on imported Chinese energy components and qualify standards from start date to service date, bringing the financing model of the entire renewable sector up.
Almost dangerous $360 billion in clean energy tax credit Adopted under the Inflation Reduction Act (IRA).
According to the Senate version of the bill, Now, the wind and solar production tax credit will expire on December 31, 2027, five years ahead of the original plan.
Regardless of the previous investment or building condition, projects that fail to fully operate on that date will completely lose access.
The new language also puts a 10% excise tax on clean energy equipment including lithium, cobalt and rare earths that contain Chinese critical minerals.
Industry executives warn that this will maximize battery storage and remain dependent on Asia's multi-silicon supply chains, while investment in the multi-silicon supply chain remains dependent on Asia.
Sixteen hours later, the Senate staff finally completed a big and beautiful Bill. Despite requesting to read the entire content, Senator Schumer did not insist on listening. When the clerk stayed up all night, he went home to sleep. pic.twitter.com/zgwreqzpdv
– Jessica (@@realjessica05) June 29, 2025
Tesla CEO Elon Musk’s Nevada battery plant relies on a mix of us and Chinese components, calling the bill “totally crazy and destructive”, warning that it will “destroy millions of jobs.”
Solar and wind developers are scrambling to the forefront, and an executive told Bloomberg that the entire department is “blind”.
Despite internal Republican dissent and Medicaid negotiations stalled, the Senate introduced Bill 51-49 in a procedural vote later Sunday.
The final Senate vote is expected to take place within 72 hours, a radical push to meet the July 4 deadline set by Trump.
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