Energy Tax Credit Rollbacks Spark Intense Lobbying Battle in Congress
A fierce lobbying campaign is underway in Washington as clean energy groups, corporations, and political activists clash over proposed changes to renewable energy tax credits originally introduced in the 2022 Inflation Reduction Act, Politico reports.
The Senate Finance Committee’s recent draft legislation, following the House’s passage of the “One Big Beautiful Bill Act,” would roll back or significantly revise many of the clean energy incentives central to the original law. These changes have prompted an urgent response from the renewable energy sector and its advocates.
On Tuesday, the Solar Energy Industries Association (SEIA) held a Capitol Hill rally to protest the proposed rollbacks, with CEO Abigail Ross Hopper urging dozens of solar company workers and executives to “storm the Hill” in defense of the credits.
“We are in a fight for our lives,” Hopper said, warning that up to 330,000 jobs could be at risk.
While the Finance Committee’s version is viewed by industry stakeholders as somewhat less severe than the House bill, concerns remain about the viability of clean energy investments under the proposed changes.
“It is far from acceptable,” Hopper told reporters, though she acknowledged that the draft represented some steps toward compromise.
Industry groups like the American Clean Power Association and the American Council on Renewable Energy echoed SEIA’s concerns. Jason Grumet, CEO of ACP, emphasized that changes to the credits could penalize companies that are already making substantial investments. Meanwhile, the Edison Electric Institute called for greater certainty to support long-term investments in energy infrastructure.
Even some traditionally conservative business organizations, such as the US Chamber of Commerce and the American Petroleum Institute, have advocated for preserving certain credits—particularly those for hydrogen production and carbon capture—on the grounds that they enhance US energy security and competitiveness.
In response to growing public scrutiny, lobbying efforts have intensified. A newly launched conservative campaign called “Built for America,” backed by a $2 million ad budget and led by former West Virginia Lt. Gov. Mitch Carmichael and Trump adviser Bryan Lanza, is promoting energy credits as tools for job growth in Republican strongholds. Ads have appeared on Fox News and Truth Social, aiming to present the credits as aligned with a pro-growth agenda.
On the other side, groups like Advanced Energy United, backed by companies such as Microsoft, Ford, and NRG, have launched digital ads targeting key Senate Republicans. Their campaign argues that repealing the credits would harm local economies and cede leadership in clean energy development to foreign rivals like China.
Behind the scenes, lobbying disclosures reveal a flurry of new contracts. Companies including Energizer Holdings, Johnson Matthey, and the Clean Energy Buyers Association have all brought on new lobbying firms in recent months. The moves highlight how deeply the business community is invested in the outcome of the legislation.
Meanwhile, some Republican lawmakers and fossil fuel advocates are pushing back. Rep. Chip Roy (R-Texas) praised pro-fossil fuel activist Alex Epstein’s role in shaping the House bill and criticized Democratic-aligned lobbying efforts to preserve the credits, calling them evidence of “Swamp” politics.
