Renewable energy and cleantech companies that were flourishing under the Biden administration are finding it increasingly difficult to survive under President Trump. While many attempt to weather the storm, some are now taking attack at the biggest opponents of green energy by funding advertising campaigns aimed at limiting their power.
Major Federal Funding Cuts
The passing of the Inflation Reduction Act (IRA) in 2022, the most far-reaching United States climate policy to date, spurred huge quantities of investment in renewable energy and cleantech throughout the remainder of President Biden’s time in office. However, when President Trump came into power last year, he called the IRA the “green new scam” and vowed to undo many of Biden’s energy policies.
The Trump administration has made sweeping cuts to renewable energy, cleantech, and climate investment over the last year. In fact, Trump has attempted to slash funding in almost every federal climate change program, although Congress has prevented some of these cuts from going through.
However, it is becoming increasingly difficult to access federal funding for climate-related issues and could become even harder moving forward, if Trump’s proposed budget is anything to go by.
While renewable energy companies are finding it increasingly difficult to survive, with many simply aiming to stay afloat until the next elections, some are now taking attack at green energy’s biggest opponents.
Wealthy Investors Take Attack
Several wealthy investors in the United States are taking aim at those who staunchly oppose green energy, and not just by funding new renewable energy projects. A group of wealthy individuals, such as Chris Larsen, the billionaire co-founder of the cryptocurrency platform Ripple, are investing in preventing green energy opponents from gaining power.
Chip Roy, a Republican representative from Texas, was the main voice encouraging the government to put an end to cleantech subsidies in the One Big Beautiful Bill Act. Now, Larsen and others are pumping funds into defeating Roy’s campaign for attorney general in Texas.
Larson has taken a leaf out of the oil industry’s book, which the renewable energy sector has so far been too afraid to do, he said. “Look at what the oil and gas industry does, brilliantly by the way. I mean, give credit to how effective they are on lobbying and policy and supporting their allies and punishing their opponents,” Larson stated.
The group of renewable energy supporters have so far purchased $650,000 in television advertisements aimed at criticizing Roy, with another $500,000 earmarked for the cause. Even though Roy’s campaign rival, Mayes Middleton, has also been seen to oppose renewables, the group appears to be seeking payback solely for Roy’s actions.
Michael Brune, the CEO of the Clean Break Fund and a former head of the Sierra Club, explained: “You’ve got to have some fear that if you vote against the clean energy industry, you may pay a political price.”
Despite feeling the pressure in the primary, Roy does not appear to be backing down. “You want to come after me? Then I’m taking two of your guys,” Roy said. “We got a good chunk of your subsidies removed last year. Just wait until the next go-round.”
Understanding Voter Opinions
The move may seem petty, but several renewable energy companies are strongly dissatisfied with the Trump administration’s attack on energy and cleantech, which they believe goes against the wishes of most voters across the political spectrum. Several have acted by conducting research to gauge voter opinions.
In February, the photovoltaic solar and manufacturing company First Solar Inc. hired Trump’s campaign pollster, Fabrizio, Lee & Associates, to better understand Republican voters’ stance on solar energy. The poll revealed that the majority of Republican voters supported solar power, especially in projects that use U.S.-manufactured panels.
Another poll, conducted by the coalition American Energy First, found that 75% of voters supported the expansion of U.S. solar energy.
With greater proof of voter support, solar companies are fighting back by informing consumers that limits to energy diversification will make electricity less affordable, as the U.S. is forced to continue relying on fossil fuels for its power.
The global pricing of oil and gas is extremely volatile, and the price has been driven up by ongoing geopolitical issues. However, shifting reliance to a diverse mix of energy sources could help reduce reliance on any one source, thereby helping to reduce consumer energy bills.
However, winning the support of the voters does not mean that vital federal funding will be reinstated, as President Trump doubles down on his funding cuts in his latest budget proposal.
As consumers struggle with the rising costs of energy, there is little hope for significant green energy expansion under the Trump administration, with many renewable energy and cleantech firms simply hoping to weather the storm until the overwhelming voter support for a diverse energy mix is heard.
Keep In Touch with Shale Magazine
As the new era of energy unfolds, you can bet we’ll be the boots on the ground to keep you informed. Subscribe to Shale Magazine for sharp insight into the arenas that matter most to your life. And don’t forget to listen to our riveting podcast, The Energy Mixx Radio Show, where our very own Kym Bolado interviews the most extraordinary thought leaders, business innovators, and industry experts of our time.
Subscribe to get more posts from Felicity Bradstock
