More climate tech projects are dying on the vine

illuminem summarises for you the essential news of the day. Read the full piece on Axios or enjoy below:

🗞️ Driving the news: Over $14 billion in planned U.S. low-carbon energy and manufacturing projects have been canceled, downsized, or delayed in 2025, according to new data from environmental group E2
• The retreat, which has already cost 10,000 anticipated jobs, reflects growing business uncertainty amid Congressional efforts to scale back the Inflation Reduction Act (IRA) and its clean energy incentives

🔭 The context: The IRA, enacted in 2022, is the cornerstone of U.S. climate policy, offering long-term tax credits to accelerate renewable energy deployment and clean technology manufacturing
• However, a House-approved budget bill threatens to significantly weaken or eliminate many of these provisions
• The loss of policy stability has triggered a wave of project cancellations in sectors including battery manufacturing, hydrogen production, and solar equipment

🌍 Why it matters for the planet: These rollbacks threaten progress toward the U.S. emissions reduction targets and may delay the domestic clean energy transition
• Manufacturing and deployment slowdowns risk eroding U.S. competitiveness in the global green economy and could deepen reliance on foreign supply chains
• Moreover, uncertainty undermines investor confidence and endangers the broader momentum needed to meet climate and industrial decarbonization goals

⏭️ What's next: Attention now turns to the U.S. Senate, which may revise or block the House bill during reconciliation
• Industry advocates and environmental groups are lobbying for the preservation of clean energy incentives, emphasizing the economic and geopolitical stakes
• States — particularly those led by Republicans that are benefiting from renewable growth — could play a pivotal role in influencing the final legislative outcome

💬 One quote: "Now is not the time to raise taxes on clean energy and compound the business uncertainty that is clearly taking a greater and greater toll on U.S. manufacturing and jobs,” — E2’s Michael Timberlake

📈 One stat: In Q1 2025, utility-scale wind, solar, and battery storage capacity still expanded by 7.4 GW — marking the second-strongest first quarter on record, according to the American Clean Power Association

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