Renewables Set to Cover 90% of Global Electricity Demand Growth in 2025, Surpassing Coal
An IEA report forecasts that renewable energy will account for 90% of the increase in global electricity demand in 2025, with solar and wind generation rising to 17% of the global energy mix this year and 19% next year[1]. For the first time in a century, coal’s contribution to global electricity is expected to fall below one-third, as new solar deployments drive this shift[1].
U.S. Accelerates Sunset of Clean Energy Tax Credits for Solar and Wind Projects
Following the enactment of the OBBBA, solar and wind projects in the U.S. must now begin construction by July 4, 2026, or be placed in service by December 31, 2027, to qualify for ITC and PTC tax credits—a significant acceleration from previous phase-out schedules[2]. Treasury guidance is expected to clarify these requirements, and a recent presidential order directs stricter enforcement, raising uncertainty for projects that miss these deadlines[2].
Major Solar-Plus-Storage Projects Transform California’s Grid
Arevon Energy has commenced full operations at the $2 billion Eland Solar-plus-Storage Project in California, one of the largest such installations in the U.S., which will supply 7% of Los Angeles’s electricity and power over 266,000 homes annually[3]. Additionally, Arevon’s new Nighthawk (300 MW/1,200 MWh) and Peregrine (200 MW) energy storage projects are enhancing grid resilience and reliability across the region[3].
Trump Administration Orders Sweeping Rollbacks on Federal Renewable Energy Policies
Since January 2025, the Trump administration has reversed multiple Biden-era climate and energy measures, including pausing new wind and solar permits on federal lands, halting offshore wind leasing, and rescinding clean energy regulations[6]. The Department of the Interior has also introduced more stringent reviews for wind and solar projects, raising barriers to new renewable developments on public lands[6].
Virginia Faces Rooftop Solar Tax Credit Rollback and Net Metering Cuts
Virginia solar installers are preparing for a reduction in the federal rooftop solar tax credit and possible state regulatory decisions allowing utility companies to decrease net metering rates