The Senate is making a dramatic last-minute push to advance President Trump’s flagship legislation — one that has sent shockwaves through the clean energy sector while delivering unexpected wins to fossil fuel industries.
In a weekend flurry of changes, lawmakers quietly accelerated the phaseout of clean energy tax credits and introduced new taxes on wind and solar projects. Simultaneously, they offered generous new incentives for fossil fuels, including a surprise provision reclassifying coal as a “critical mineral” — qualifying it for manufacturing tax breaks.
“We’re doing coal,” Trump said on Fox News’ Sunday Morning Futures, while dismissing solar energy as “ugly as hell.”
The bill, now over 900 pages long, is drawing heated reactions. Supporters of fossil fuels are celebrating. But clean energy backers — including Tesla CEO Elon Musk — are livid. Musk, once a Trump ally before a very public falling-out, called the bill “utterly insane,” accusing the administration of “sabotaging the future to prop up the past.”
Clean Energy Hit Hard
The updated bill now rolls back solar, wind, and EV credits much faster than expected — in some cases as soon as September 30. Projects that source materials from China will face additional penalties starting in 2028.
The American Clean Power Association warned the bill could “strand hundreds of billions” in renewable investments and drive up utility bills, especially as demand for electricity surges from AI data centers and electric vehicles. Some experts now forecast double-digit electricity rate increases by 2029.
Sen. Brian Schatz (D-HI) slammed the changes, warning, “We are literally going to run out of electricity because Trump is killing solar.”
Fossil Fuels Get a Boost
At the same time, fossil fuel producers are seeing expanded lease sales, fewer emissions penalties, and new tax breaks. Senate Republicans estimate the changes will generate more than $15 billion in new federal revenue.
Sen. John Barrasso (R-WY) praised the move: “America is an energy superpower, and once again, we are going to act like it.”
A Growing Price Tag
The legislation’s overall cost is now spiraling. A Congressional Budget Office analysis released this weekend estimates the revised bill would add $3.3 trillion to the national debt over the next decade — and that’s without interest included. Including borrowing costs, the Committee for a Responsible Federal Budget puts the total closer to $4.2 trillion, potentially rising to $4.5 trillion if rumored additions are made.
Trump has dismissed the debt concerns, encouraging lawmakers to pass the bill quickly. “REMEMBER, you still have to get reelected,” he posted on Truth Social, suggesting that rapid economic growth would offset the bill’s cost — a claim many economists have questioned.
Health Care Cuts
The new bill would also leave 11.8 million Americans uninsured by 2034, according to the CBO — nearly a million more than under the House version.
Political Fallout Ahead
Despite passing a key procedural hurdle, the bill still faces stiff resistance. At least two Republican senators are expected to vote no, with others undecided. The final Senate vote could come as soon as Monday night or early Tuesday.
If passed, the legislation would head back to the House, where fiscal conservatives have already balked. The House Freedom Caucus called the ballooning price tag “unacceptable” and said it breaches the budget deal agreed upon in May.
As the clock ticks, Trump’s legislative gamble faces mounting backlash from both climate advocates and fiscal hawks — and could shape the political landscape heading into 2026.
