Businesses and investors like predictability.
This administration is bringing anything but.
What to watch: Critics and clean-energy analysts warn the policies in the GOP bill could ripple across industries, supply chains and geopolitical fault lines.
- Growth in solar, wind, electric vehicle sales, and clean tech manufacturing will likely decelerate, as investment stalls and incentives disappear.
- Tech companies will face fresh challenges meeting AI’s voracious energy needs, especially as supply chains for gas-fired turbines remain backlogged into the 2030s.
- Power prices may rise, with new projects delayed just as U.S. electricity demand climbs for the first time in 15 years. Wind, solar and batteries make up roughly 95% of the projects proposed to connect to the grid.
- China could widen its lead in low-carbon energy sectors that are becoming increasingly central to global power and competitiveness, even as the U.S. retreats on climate change.
U.S. power sector emissions are already at their highest levels in three years, but will likely climb further during the peak summer months as greater use of air conditioning systems drives higher generation from coal and natural gas plants.
Over the first five months of 2025, U.S. power sector emissions from the burning of fossil fuels were up 5% to around 640 million metric tons, according to data from Ember.
The roughly 32 million ton rise in emissions from the same months a year ago stems mainly from higher use of coal within the U.S. generation mix, as power firms have so far cut back on natural gas use from a year ago after gas prices rallied.
However, power firms are starting to dial up generation from both coal and gas in order to meet higher electricity demand from homes and businesses tied to the greater use of power-hungry air conditioners.
Those higher generation trends will in turn further lift power sector pollution totals, even as electricity production from clean power sources such as solar farms hit record highs.