Regulatory & Legislative

Pile of documents with Occupational Safety and Health Administration OSHA.

With any industry that has grown as quickly as renewable energy, safety is sometimes overlooked. The Occupational Safety and Health Administration (“OSHA”) classifies those working in the renewable energy industry as having a “green job.” The hazards of green jobs vary across the renewable energy field, whether in wind, solar, geo-thermal, or biofuel power generation companies. Ultimately, renewable energy companies must address both common workplace hazards and the emerging challenges unique to this developing industry.

Legal office of lawyers, justice and law concept : Judge's gavel or hammer and base used by a judge person on a desk in a courtroom with blurred books and a bookshelf or bookcase in the background.

In a significant legal development, a recent appellate court ruling upheld a lower court’s decision invalidating certain tariffs imposed by the United States under the International Emergency Economic Powers Act (IEEPA). This ruling has set the stage for the U.S. Supreme Court to hear oral arguments in November, a case that could have profound legal and economic implications depending on the outcome.

When the legendary writer John McPhee described a blind, over-the-shoulder basketball shot of the equally legendary Bill Bradley, he fixed on Bradley’s explanation of how he managed to score apparently without looking at the basket. Bradley simply said, “you develop a sense of where you are.” That ‘sense’ allowed him to accomplish his purpose with no immediate idea about how his goal would be affected by events around him.

Industry participants, watchers, and regulators might enquire where we are in the complex but seemingly endless process of modernizing the U.S. electric system. Is the current focus on streamlining regulatory approval processes for infrastructure development generally— and the siting and permitting of electric transmission in particular—a sign that it’s time for the easy stuff since the Rubik’s Cubes of access, planning, cost allocation, and accommodating new technology are approaching resolution? Will this in turn be followed by a surge in electric transmission grid expansion and market integration? Ironically, during the decade of debate over siting and permitting—while policymakers make corridor determinations, run steering committees, and manufacture procedural shortcuts—U.S. transmission construction has declined precipitously. Does this give confidence that we know where we are, where the grid is headed, and how the industry will get there?

Wind turbine of wind power generation

Domestic energy production was a subject of much attention in the recently passed federal legislation. That legislation eliminated significant future tax incentives for new construction of large-scale wind and solar projects. Other energy generation sources are expected to be used more intensively and for a longer period of time than previously assumed in order to meet significant anticipated growth in domestic energy demand.

Employee of a solar panel installation company on the roof

As we have discussed in recent articles and as has been well publicized, two recent actions out of Washington are significantly impacting the renewable energy industry. The recently enacted One, Big, Beautiful Bill Act (OBBBA) imposes new deadlines on renewable energy facilities to begin construction and/or be placed into service in order to qualify for tax credits. This is discussed in detail in our recent articles here.

In addition to the OBBBA, on July 7, 2025, President Trump issued an Executive Order (EO), directing the Secretary of Treasury to—within 45 days following enactment of the OBBBA (which is August 18, 2025)—strictly enforce the termination of renewable energy tax credits. This includes issuing new guidance “to ensure that policies concerning the ‘beginning of construction’ are not circumvented, including by preventing the artificial acceleration or manipulation of eligibility and by restricting the use of broad safe harbors unless a substantial portion of a subject facility has been built.”

Photovoltaic solar panels on sunset sky background,green clean e

The One Big Beautiful Bill Act (OBBBA), signed into law by President Donald Trump on July 4, 2025, provides for enhanced restrictions on entities claiming many of the renewable energy credits established under the Inflation Reduction Act of 2022 (IRA). Namely, the bill prohibits foreign entities of concern (FEOCs), as well as domestic entities that are related to or otherwise engage in significant transactions with FEOCs, from claiming such credits. The credits that are subject to the new FEOC limitations under the bill include:

  • the Clean Energy Production Credit (Section 45Y);
  • the Clean Electricity Investment Credit (Section 48E);
  • the Zero-Emission Nuclear Power Production Credit (Section 45U);
  • the Advanced Manufacturing Production Credit (Section 45X);
  • the Credit for Carbon Oxide Sequestration (Section 45Q); and
  • the Clean Fuel Production Credit (Section 45Z).
Wind turbine energy generaters on wind farm

On July 4, 2025, the One, Big, Beautiful Bill Act (the Act) was enacted. Several provisions of the Act will impact renewable energy projects and the tax credits generated by such projects. Such provisions include the accelerated termination for wind and solar credits, as well as restrictions with respect to foreign entities of concern. Most of the energy provisions of the Act will take effect beginning with the taxable year beginning after that date of enactment (i.e., the taxable year beginning January 1, 2026, for most taxpayers), although there are some deviations, as described below.

American and Texas Flags Flying at the Texas State Capitol Building in Austin

The Texas legislature concluded its 89th Regular Session on June 2, 2025. During the session, the energy industry paid significant attention to legislative actions impacting the power industry in the areas of grid management, reliability, power generation and resource development. The state is seeing a soaring demand for power in the state, in part due to the substantial growth in the development of large load projects. But the legislature was also hard at work on other changes to Texas laws that likely were not on the radar of the energy industry. These changes to the corporate laws in Texas sought to make Texas (as opposed to stakes like Delaware or Nevada) the new destination-of-choice for new entity formation and to attract existing companies to reincorporate in Texas.