In a very sharp fall, the investment to renewable energy sources in USAbecause of the policies implemented by the new government.
Donald Trump’s opposition to the industry, and especially to wind farms, has been known for years. After all, he made relevant decisions during his first presidential term in the US. But this time things seem to be much worse and hundreds of billions of investment in the country are threatened, as well as plenty of jobs.
The White House targets, in principle, are the taxas and subsidies offered for these projects. At the moment there are several different scenarios for what will happen to money. A first idea is to redirect for fossil fuel units, and the proposal has fallen on the table to raise themselves to reduce public debt.
At the same time, the high duties on the products of China and other states of Asia’s states increase the cost of photovoltaic parks sharply. The previous government had doubled the tariffs on Chinese systems and now the Trump duties and the increased cost of imported steel and aluminum are added, which adversely affects the facilities.
The results of the above moves are already noticeable today, just three months after Trump’s leadership has taken over: Estimates refer to project cancellations totaling about $ 8 billion so far and loss of about 10,000 jobs.
It was also known that the authorities suddenly interrupted the construction work of the large offshore Empire Wind Wind Park off New York, developed by Norwegian Equinor. This development is important because it shows that Trump may turn against mature works.
On the basis of developments so far, Wood Mackenzie analysts now discount a 40% drop in RES facilities in a five -year period, though they point out that the industry is not going to “die”.
Finally, it is very likely that RES companies will be judged against Washington’s rulings, as their legality is questioned in many cases.