A new directive from the Department of the Interior raises federal scrutiny for renewable energy projects, threatening solar and wind development nationwide.
Trump takes aim at solar and wind energy
The Trump administration has issued what many consider a final blow to solar and wind energy. An internal memo from the Department of the Interior now requires personal approval from Secretary Doug Burgum for even routine procedures tied to renewable energy projects on federal land. While the directive formally applies only to land managed by federal agencies, industry experts, investors, and attorneys warn that it could have broader implications, potentially affecting private land projects that connect to federal infrastructure.
This internal directive is only the latest in a series of measures undermining solar and wind development. Earlier this month, Congress passed the One Big Beautiful Bill Act, which eliminates tax credits for renewable energy projects starting in 2026 unless construction has already begun.
Following the tax overhaul, President Trump signed an executive order targeting renewable power. The order closes key loopholes that previously allowed projects to qualify for credits as long as they broke ground within a year. That exception had been part of a compromise with moderate Republicans in the Senate. The new rules could prevent many projects from qualifying unless construction starts by next July.
Higher scrutiny for every permit and plan
In a separate memo, the Department of the Interior stated that all decisions on wind and solar projects under its jurisdiction will undergo review by the Secretary’s Office. This includes leases, rights-of-way, construction and management plans, and biological opinions. The memo lists 69 types of actions now requiring approval, from environmental assessments to grant applications.
“This is a form of obstruction that will unnecessarily damage the fastest-growing sources of power,” said Jason Grumet, CEO of the American Clean Power Association. “Apparently, the Secretary will personally review thousands of documents and permitting requests, from project siting to fencing designs to road gradients across the country,” Grumet added.
The Department framed the policy as a correction to the Biden administration’s bias against coal and gas, suggesting that it helps ensure grid reliability. Critics, however, argue that the move threatens U.S. electricity production at a time of rising demand driven in part by data centers.
According to BloombergNEF, these policies could reduce new wind, solar, and storage installations by 23% through 2030 compared to projections from early 2025.
In a recent speech, UN Secretary-General António Guterres said the United States is forfeiting the greatest economic opportunity of the 21st century. He condemned current U.S. energy policy for “distorting the market” by favoring fossil fuels with subsidies nine times greater than those for renewables.
“The Trump administration is fundamentally opposed to renewable energy,” said Michael Wara, a researcher at Stanford University. “I believe it is radically distorting the market and the broader transition already underway in the U.S. and globally.”
