The US Senate has passed the One Big Beautiful Bill, bringing changes to the country’s renewable energy framework. The bill was passed with a 51-50 vote, with Vice President JD Vance casting the tie-breaking vote.
The bill introduces an accelerated phase-out of tax credits for wind and solar energy projects. The projects must begin construction before June 2026 and be operational by the end of 2027 to qualify for the production and investment tax credits.
Furthermore, under the bill, the tax credits for new or used clean-vehicle purchases, as well as clean commercial vehicle purchases, would end after September 30, 2025. Tax credits for installing charging stations at a home or business would expire on June 30, 2026.
The bill restricts tax credit access for projects owned by prohibited foreign entities and those using components from such entities. Additionally, clean hydrogen production facilities beginning construction before first January 2028, would remain eligible for credits under section 45V, with no applicable foreign entity of concern requirements.
