## Key Energy Sector News for June 6, 2025
**U.S. Solar and Battery Storage Surge in 2025**
The U.S. is set to add 63 gigawatts (GW) of new utility-scale electric-generating capacity in 2025, marking a nearly 30% jump from 2024’s record installations. Over 80% of these additions will come from solar and battery storage, with Texas and California leading the way. This expansion reflects ongoing declines in solar panel prices, robust tax incentives, and rising demand for clean power[4][6].
**Global Renewables Set to Overtake Coal Power**
For the first time, renewables-based electricity generation is projected to surpass coal-fired generation globally in 2025. This milestone is driven by major policy initiatives and investments in China, the European Union, and the United States, with China alone adding nearly 350 GW of renewable capacity in 2023[5].
**$14 Billion in U.S. Clean Energy Projects Canceled or Delayed**
More than $14 billion worth of clean energy projects in the U.S. have been canceled or postponed in 2025. The uncertainty is fueled by the prospect of new federal tax legislation that could threaten key renewable energy credits, creating major headwinds for developers[2].
**Elimination of Clean Hydrogen Production Tax Credit (45V) for New Projects**
The U.S. federal government has decided to eliminate the Clean Hydrogen Production Tax Credit (45V) for new projects starting after December 31, 2025. This policy shift could impact the future of hydrogen investments and project pipelines across the country[1].
**Strong U.S. Clean Energy Manufacturing Capacity, but Wind Lags**
Since the Inflation Reduction Act (IRA), U.S. battery and solar manufacturing have seen remarkable growth, with domestic production now matching or exceeding current deployment levels. However, wind manufacturing investment and capacity expansion have lagged, raising concerns about meeting future wind power targets[8].
**Power Grid Modernization and Investment Gaps**
U.S. utilities increased spending on transmission and distribution infrastructure in 2023, aiming to replace aging equipment and make grids more resilient. Yet, the sector still faces a $578 billion investment gap as surging demand from electric vehicles and data centers strains the existing grid[7].
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These stories collectively illustrate rapid growth in renewables and storage, critical policy and supply chain developments, and ongoing infrastructure and regulatory challenges shaping the energy sector as of June 6, 2025.