Tax credit shifts put Texas renewables on a sprint to build

Kevin Clark | Source: Renewable Energy World | Posted 09/08/2025

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With fresh federal guidance for renewable energy projects in hand, Texas’ hottest club last week was the Downtown Austin Hilton, where developers discussed the near-term playbook for getting steel in the ground and qualifying for more restrictive tax credits.

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Texas renewable energy developers are racing to build projects in light of new federal tax credit regulations, as discussed at the Texas Clean Energy Summit. The recent One Big Beautiful Bill Act (OBBBA) imposes a deadline for investment and production tax credits for wind and solar projects, requiring construction to begin by July 4, 2026, to qualify for subsidies. This has led to a sense of urgency among developers, who must navigate a compressed timeline that could strain supply chains and labor resources.

Despite the challenges, industry leaders remain optimistic about Texas's renewable energy future. They emphasize the importance of engaging with regulations and demonstrating the benefits of renewable projects to local communities. While the landscape is shifting, with potential consolidation among developers, the commitment to renewable energy in Texas remains strong, as stakeholders work to adapt to the evolving market and regulatory environment.

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Tax credit shifts put Texas renewables on a sprint to build

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