The US Clean Energy Sector Faces Billions in Project Losses Nationwide

The United States clean energy sector faces billions of dollars in projects losses nationwide. Now, the future of a greener grid hangs in the balance as proposed legislation and project cuts threaten its survival. 

According to a recent study by Environmental Entrepreneurs from January 2025 to April 2025, more than $14 billion worth of clean energy projects in the United States have been canceled or delayed. This has resulted in the loss of approximately 10,000 jobs in low-carbon energy sectors and clean vehicle manufacturing.[1]

Particularly affected are states like Tennessee and Georgia, where a significant portion of clean energy projects and associated jobs are at risk. In these states, up to 72% of clean energy projects and 61% of jobs could be canceled due to the regulatory uncertainty. All in all, this trend indicates weakness in the clean energy supply chain, especially in areas where state-level investments are closely linked to a shift towards electric vehicles.

In contrast, the solar industry continues to demonstrate adaptability when compared against the rest of the clean energy sectors. Although the solar industry has lost approximately $2.9 billion in investments, this number is significantly lower than the losses experienced by the wind, energy storage, and electric vehicle sectors. Additional data from E2 and the Clean Economy Tracker found that since 2023, only six solar projects have been shut down, showing the sector’s sustained momentum despite policy challenges.[2]

Environmental Entrepreneurs also anticipates further disruptions under the “One Big Beautiful Bill Act. More specifically, Michael Timberlake, communications director at E2 warned, “if the tax plan passed by the House last week becomes law, expect to see construction and investments stopping in states across the country as more projects and jobs are canceled.” Alongside the magnitude of cancellations there is growing uncertainty around federal clean energy policies and tax credits. The One Big Beautiful Bill Act legislation has provisions that eliminate many clean energy tax credits that were established in 2022. These tax credits have been instrumental in renewable energy projects, battery storage, and electric vehicles.[3] The proposed provisions have sparked significant concerns among companies that rely on these incentives to achieve their sustainability objectives. These companies believe that their elimination could lead to energy shortages and increased expenses.


[1] Over $14 Billion in U.S. Clean Energy Investments Have Been Canceled or Stalled This Year: Report (Cristen Hemingway James, 2025). 

[2] US delays or cancels US $14 billion in clean energy investments under Trump presidency (Casey, 2025). 

[3]  The Tax Law Center NYU Law (Sweeney and Hanlon, 2025). 

 



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