Recently, the U.S. Bureau of Land Management (BLM) rejected the “Esmeralda 7” mega solar project in Nevada. Originally planned to become the “world’s largest solar power farm,” this decision marks the latest case of the Trump administration frequently halting renewable energy projects, indicating a systematic impact on the U.S. new energy industry.
According to British media reports, the “Esmeralda 7” project covered an area of 185 square miles (close to the size of Las Vegas) and was jointly developed by companies including NextEra Energy. It included seven solar farms and energy storage systems, with a planned capacity of 6.2 GW, enough to power nearly 2 million households. The project initiated its permitting process during the Biden administration but has now been terminated. Patrick Donnelly, Director of the Center for Biological Diversity in Nevada, stated that all solar projects on public lands in the state have stalled.
“Esmeralda 7” is not an isolated case. In August, the Trump administration canceled the “Lava Ridge” wind power project in Idaho, citing “legal flaws.” In the same month, the Department of Transportation cut $679 million in federal funding for 12 offshore wind projects. In May, the administration slashed $3.7 billion in clean energy projects, affecting the hydrogen sector, prompting companies like Australia’s Woodside to subsequently halt their U.S. hydrogen projects. In October, the Department of Energy terminated 223 green energy projects, involving $7.56 billion, many of which were located in states that support the Democratic Party. White House officials described this as ending the “Green New Scam,” while Democrats criticized it as “political retaliation.”
Trump has repeatedly denounced climate change as a “hoax,” claiming that wind and solar energy drive up costs. However, his statements contradict data: the U.S. Energy Information Administration (EIA) shows that wind and solar are the fastest-growing energy sources in the U.S., accounting for 17% of total electricity generation last year. Meanwhile, the International Energy Agency (IEA), due to U.S. policy adjustments, has nearly halved its renewable energy growth forecast for 2030, expecting new capacity additions from 2025 to 2030 to shrink from 500 GW to 250 GW.
These changes stem from the “Big and Beautiful” Act signed by the Trump administration in July. The act terminates electric vehicle tax credits, ends wind and solar tax incentives ahead of schedule, while favoring fossil fuels by allowing new oil and gas drilling sites and shortening the approval cycle for shale gas projects. The U.S. Department of Agriculture has also ceased support for new energy projects on farmland.
Although some developers still express willingness to cooperate, and a rush to install projects is anticipated, the policy volatility has severely undermined investor confidence. Institutions like McKinsey point out that the U.S. hydrogen market will remain sluggish in the long term, and the country’s competitiveness in the global low-carbon transition is continuously weakening.
