A surge in US wind and solar construction is now jeopardized by expiring tax credits and supply chain bottlenecks. Data shows solar capacity under construction rose 50% since early 2025, with wind up 60%, as developers raced to meet a July 4 safe-harbor deadline. The Trump administration's removal of these incentives, originally set to phase out in 2033 under Biden's Inflation Reduction Act, has created an artificial cliff.

Developers report ruthless prioritization, with many projects abandoned due to resource constraints. Reagan Farr of Silicon Ranch warns "a lot of projects are going to die on the vine." Compounding the issue, electricity demand is forecast to grow 25% by 2030, driven by data centers and electrification. The permitting process for interconnections has slowed dramatically, with federal approvals now taking up to a year.

Supply chain strains are acute. Transformer lead times stretch to 18 months as data center developers compete for equipment. Heliene, a Canadian solar manufacturer, notes small developers lack cash to stockpile components. Aspen Power must pay for transformers 72 weeks before delivery, tying up capital. Labor shortages are pushing costs higher, with contractors exploiting project uncertainty. The result is a significant slowdown in new capacity additions, threatening to derail clean energy targets and exacerbate grid constraints.