Brace yourself: House Republicans just passed a contentious domestic policy megabill with a razor-thin 218-214 vote, spotlighting a fierce battle over renewable energy tax credits.
According to Politico, after nearly 24 hours of heated debate, the bill, now awaiting President Donald Trump’s signature, overcame initial conservative resistance thanks to promises of executive action against solar and wind incentives tied to the 2022 climate law.
The drama unfolded earlier this week as the Senate passed a reconciliation bill with compromise language on phasing out tax credits for renewable projects, crafted partly by Sens. Lisa Murkowski (R-Alaska) and John Curtis (R-Utah).
The Senate’s version allows projects one year to start construction for current credits, with a deadline of 2027 to be placed in service.
This clashed with an earlier House bill, H.R. 1 (119), favored by hard-liners, which gave only 60 days to begin construction.
Conservatives, including House Freedom Caucus members, also balked at a Senate “safe harbor” clause letting projects qualify by spending just 5 percent of total costs upfront.
Enter President Trump, who assured skeptical conservatives that his administration would restrict wind and solar projects from accessing the Inflation Reduction Act tax credits.
This promise flipped the vote, securing just enough support to pass the megabill on Thursday.
Rep. Chip Roy (R-Texas) was blunt: “We believe the administration is aligned with us on terminating those Green New Scam subsidies.”
Roy added, “We talked to lawyers in the administration.” He continued, “I probably spent about six hours yesterday with some lawyers about what they can do to reverse the gutting of the gutting.”
Rep. Ralph Norman (R-S.C.) echoed this, saying Trump would ensure companies “are doing what they say” on construction claims.
Norman clarified, “We wanted date of service,” rejecting vague construction starts as qualifiers.
Meanwhile, Rep. Tim Burchett (R-Tenn.) suggested, “He can put tariffs on stuff” from China as a possible lever.
For investors and liberty-minded readers, this saga signals turbulence ahead for renewable energy markets—consider diversifying portfolios away from heavily subsidized sectors while watching for policy shifts that could reshape energy economics overnight.