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Illinois Bet on Solar to Meet Its Climate Goals. Trump Has the Industry in His Crosshairs.

ILLINOIS, UNITED STATES, JUL 15 – Federal tax incentives for solar projects will phase out by 2027, causing investment declines despite Illinois' state policies supporting renewable energy growth.

  • On July 4, 2025, President Trump signed the federal spending plan, ending decades-old solar tax incentives by 2027.
  • In recent years, Illinois has subsidized solar through CEJA, expanding incentive programs to meet its 2045 carbon-free electricity goal.
  • Windfree Solar CEO Eric Heineman said a surge in solar project requests reflects industry optimism, while Jon Carson warned `it just means that less projects are going to get built in the short term`, underscoring ongoing uncertainty.
  • Analysis from the REPEAT Project predicts higher energy prices, and the law denies incentives to projects linked to foreign entities like the Chinese government.
  • Looking ahead, eligible solar projects must commence construction within 12 months, and Cate Caldwell urged to `invest in real, bold climate solutions that modernize our grid, ensure energy-hungry data centers act as good neighbors, and deliver cost savings to hardworking families across the state`.
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WirePoints Illinois Financial News broke the news in on Tuesday, July 15, 2025.
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