News Roundup for the Week of August 11, 2025
The global solar industry saw a mix of bold investments, policy shifts, and market recalibrations this week. From corporate giants defending renewable subsidies in the U.S., to new large-scale solar and storage projects coming online, to emerging opportunities in South Africa, the sector continues to prove its resilience and adaptability. Even China, after a record-breaking first half of the year, is adjusting to a new policy landscape that could reshape its growth trajectory.
In this week’s update, we break down the five most important developments you need to know, each with direct implications for markets, technology, and the future of clean energy deployment.
Tougher Standards for Solar Tax Credits Could Reshape U.S. Renewable Development
The Trump administration has announced significant changes to how large-scale solar and wind projects qualify for federal tax credits, raising the bar for developers hoping to lock in incentives. Under the revised rules, simply meeting the long-standing “5% safe harbor” by incurring a fraction of total project costs will no longer suffice for installations over 1.5 MW. Instead, projects must demonstrate tangible, physical progress, such as erecting structures, installing racking systems, or mounting panels, before they can claim to have “begun construction.”
For the renewable energy sector, the change represents more than a bureaucratic adjustment; it could alter the timing, financing, and risk profile of billions of dollars’ worth of projects. Large-scale developers often rely on the safe harbor provision to secure funding and line up equipment orders years before breaking ground. With that path narrowing, timelines may compress, pushing developers to accelerate construction or risk losing access to incentives.
Industry advocates warn that the shift could slow deployment just as the United States is racing to expand clean energy capacity. Solar and wind groups argue that the new requirements will make it harder for projects to navigate supply chain delays, permitting hurdles, and labor shortages, factors that have already disrupted build schedules in recent years. Some warn that rural economies counting on the influx of jobs and tax revenue from renewable projects could feel the impact if fewer developments move forward.
Supporters of the policy argue that it will curb speculative claims and ensure taxpayer dollars go toward projects with genuine momentum, not just paper plans. Whether the new rules ultimately slow or strengthen renewable growth will depend on how developers adapt in the coming months.
Read the full story at Reuters
Big Tech Challenges New Limits on Renewable Energy Subsidies
A coalition of major technology companies, including Microsoft, Google, and Amazon, has issued a strong rebuke of the federal government’s newly announced restrictions on renewable energy tax credits. The companies, all of which operate vast energy-hungry data centers, argue that the changes will undermine both their clean energy procurement strategies and the nation’s broader decarbonization goals.
These firms have been among the largest corporate purchasers of solar and wind power in the United States, often signing long-term power purchase agreements (PPAs) that depend on the stability of federal incentives. By tightening the eligibility requirements for subsidies, critics say the government is injecting uncertainty into a market that thrives on predictable returns. For Big Tech, that could mean higher costs and slower timelines in achieving their public commitments to 100% renewable energy.
Beyond corporate concerns, the pushback underscores how intertwined the private sector has become with the renewable energy buildout. Tech giants have played a pivotal role in scaling solar and wind capacity, driving demand for new projects in both urban and rural areas. Without reliable subsidies, developers may hesitate to take on projects that these companies need to meet sustainability pledges, potentially slowing the rapid growth the sector has enjoyed.
The administration maintains that the changes are necessary to ensure subsidies benefit projects that are genuinely underway, not speculative ventures. However, with some of the nation’s most influential companies lobbying against the overhaul, the political and economic debate over the new rules is just getting started.
Read the full story at Reuters
China’s Solar Boom to Slow in Second Half of 2025
China’s solar industry set a new global benchmark in the first half of 2025, installing an unprecedented 212 gigawatts of capacity. That pace, nearly double what the world’s second-largest solar market achieved in an entire year, underscores just how aggressively Beijing has pursued renewable energy in recent years.
However, the rapid build-out is about to hit a significant speed bump. New policy reforms are removing guaranteed electricity pricing for future projects, a move designed to align the market more closely with real-time supply and demand. While the change aims to curb overcapacity and inefficiency, analysts say it will likely cause a steep drop in new installations over the coming months.
Without guaranteed pricing, developers face greater revenue uncertainty. Financing large-scale solar farms could become more challenging, especially in regions where grid congestion and curtailment risks are already high. Some industry observers expect that smaller and less financially robust developers may delay or cancel planned projects altogether.
The slowdown is not expected to derail China’s long-term renewable energy ambitions. The country still aims to reach 1,200 GW of total wind and solar capacity by 2030, and the first-half surge has already put it well ahead of schedule. Instead, the second-half slowdown may give policymakers and grid operators time to integrate the vast new capacity into the national electricity system more effectively.
Still, the policy shift marks a turning point for the world’s largest solar market. How developers adapt, and whether demand rebounds once the new pricing structure settles, will influence global solar supply chains and investment trends for years to come.
Read the full story at Reuters
New Solar + Storage Project Now Powering New Mexico
The Shallow Basket Energy project in New Mexico has officially begun operations, marking a significant milestone for both clean energy and community resilience. Developed by National Renewable Solutions (NRS), this project couples 140 MW of solar capacity with a 50 MW battery storage system, designed to stabilize the local grid and ensure 24/7 power delivery when weather or demand fluctuates.
Welcomed by the Jicarilla Apache Nation, the project stands on tribal land and brings both energy and economic development to the region. Having secured $145 million in financing from Deutsche Bank, the initiative demonstrates how community partnerships and private investment can accelerate clean energy access in rural America.
This solar-plus-storage facility isn’t just about renewable electrons, it’s a job creator too. During peak construction, 250 jobs were generated in engineering, construction, and operations, providing a much-needed economic boost to surrounding communities. Once fully online, the project’s dispatchable power will enhance energy reliability across the region.
The Shallow Basket Energy plant illustrates how integrated renewables are reshaping the energy landscape. By pairing solar generation with battery storage, the system can deliver clean power when it’s needed, not just when the sun is shining. It’s the kind of forward-looking infrastructure that other states and tribal communities may soon follow.
Read more about the project here
South Africa Orders 291 MW of New Solar Capacity
South Africa’s state-owned utility, Eskom, has announced a new tender calling for the deployment of nearly 291 MW of solar photovoltaic capacity. The procurement drive is part of the country’s ongoing efforts to diversify its energy mix and reduce reliance on coal, which still accounts for the majority of its electricity generation.
The tender will be executed through power purchase agreements (PPAs), enabling independent power producers to build, own, and operate the projects while selling electricity back to the grid. This structure is intended to encourage private investment and accelerate the rollout of renewable infrastructure without placing the entire capital burden on the utility.
Eskom plans a phased commissioning approach, meaning successful projects will come online in stages rather than all at once. This allows new capacity to be integrated more smoothly into the national grid while delivering benefits to the energy supply sooner.
The tender is open for applications until September 19, 2025, after which bids will be evaluated based on price competitiveness, technical feasibility, and the ability to meet South Africa’s renewable energy development goals. If fully realized, the initiative will provide a meaningful boost to solar generation and help ease the country’s persistent power shortages.
