Solar Under Trump
As we transition into 2025, the solar industry faces a crucial moment in its development, especially with the anticipation of Donald Trump’s second term in the White House. The Department of Energy (DOE) has been pivotal in the solar sector’s evolution, influencing policy and allocating funding vital for the growth of renewable energy sources.
However, with Chris Wright, the CEO of Liberty Energy—one of North America’s largest fracking companies—tapped as the new Secretary of Energy, industry stakeholders are left pondering what this leadership shift could mean for solar energy’s trajectory, says Solar Power World.
The importance of the secretary of energy
The Secretary of Energy may not hold direct legislative power, but the position wields considerable influence over research funding and the promotion of various energy technologies. The DOE’s mission emphasizes securing America’s energy supply, addressing environmental challenges, and supporting technological advancements. Every Secretary interprets this mission differently, often reflecting the ideological leanings of the current administration.
Michael McKenna, a lobbyist who assisted with Trump’s 2016 transition team, observed the dichotomy in approach between Republican and Democratic administrations. While Republican appointments tend to prioritize traditional energy sectors, Democratic leaders seek transformative changes in energy markets. This fundamental difference raises questions about how the new Secretary under Trump will prioritize solar energy amidst a landscape shaped by both fossil fuels and renewables.
A legacy of solar incentives
Historically, various energy secretaries have influenced the path of solar energy development in the U.S. Even during Republican administrations, initiatives that sparked solar growth emerged. Notably, Samuel Bodman, Secretary of Energy under George W. Bush, championed the Investment Tax Credit (ITC) that significantly boosted solar adoption. His support exemplified how Republican leadership could foster solar development through strategic policy-making.
Conversely, under President Obama, the DOE took monumental steps forward regarding renewable energy with figures such as Steven Chu and Ernest Moniz at the helm. Chu’s establishment of the SunShot Initiative aimed to significantly decrease the cost of solar energy, while Moniz oversaw the financing of large-scale solar projects, helping to lay the groundwork for the current solar infrastructure we see today.
Renewables on the back burner
Shift gears to the Trump administration, and the priorities of the DOE took a different direction. With Rick Perry as the initial Secretary of Energy, the focus pivoted away from renewables and leaned heavily toward fossil fuels. Perry’s tenure witnessed a push for fracking and the exploration of American fossil fuel resources, marked by a controversial study that faulted renewable expansions for challenges faced by coal and nuclear energy.
Following Perry, Dan Brouillette continued this trend, primarily emphasizing the growth of oil and gas while only making scant references to solar energy developments. Funding during this period remained largely dedicated to fossil fuel priorities, raising concerns over whether or not solar could maintain its momentum.
The Granholm Era: A renewed focus on solar
The leadership of former Michigan Governor Jennifer Granholm ushered in a renewed focus on clean energy, including solar energy development. Under her guidance, the DOE promoted ambitious goals for achieving net-zero carbon emissions by 2050. Granholm’s administration not only sought to advance a broad range of clean energy initiatives but also provided substantial funding to support solar projects.
During her first year alone, the U.S. installed over 20 GW of new solar capacity. Under Granholm’s leadership, the DOE became a formidable force advocating for the transition toward renewable energy, with her name even appearing on the TIME100 Climate list for her contributions.
An uncertain future with Chris Wright
With the appointment of Chris Wright as Secretary of Energy, the solar industry faces a potentially challenging landscape. Unlike his predecessors, Wright’s background as a fracking executive raises concerns about whether he will prioritize renewable energy initiatives or shift attention and resources back toward fossil fuels.
Industry insiders like McKenna suggest that Wright will likely align closely with the president’s energy agenda. Given Wright’s history and approach to energy issues, it’s plausible that the DOE may redirect resources that previously supported renewable energy projects back toward fossil fuel developments. This could mean reallocating funding, cutting staffing in renewable programs, and diminishing overall support for solar initiatives.
Rhone Resch, former president of the Solar Energy Industries Association (SEIA), anticipates significant budget cuts in agencies that supported renewable efforts. As funding may wane, solar projects could experience a slowdown, potentially risking the rapid growth experienced in recent years.
The bright side: Solar’s ongoing potential
Despite these concerns, the solar industry as a whole is not expected to retreat entirely. SEIA and Wood Mackenzie have projected that installations could still reach at least 40 GW annually in the coming years. This resilience speaks to the industry’s robust foundation and its importance to the broader energy landscape, even amid uncertainties.
While fossil fuels may regain prominence under the new administration, the groundwork laid during the Biden years, combined with the lessons learned from prior administrations, suggests that solar will continue to play a crucial role