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What midterm election blue wave rebuke of Trump means for renewable energy
The midterm election results may strengthen political support for renewable energy, even as the Trump administration has rolled back federal clean energy incentives. Developers and investors still see long-term economic reasons to shift towards renewables, and the election leaves substantial federal funding available.
US manufacturing capacity for solar modules, wind blades and nacelles grew by about 50% between the first quarter of 2025 and the third quarter of this year. A total of $277 billion was invested in clean energy and related technologies over the past four quarters, while nearly $600 billion in federal clean energy funding remains available, according to a Politico analysis. Voters approved 40 of 41 local measures on AI data centres, mostly addressing construction and energy use; new governors have called for safeguards and community input, while Goldman Sachs expects US data centre growth through 2027 to remain largely unchanged.
In short
- Renewable manufacturing capacity rose about 50%.
- Nearly $600 billion in clean energy funding remains available.
- Most local measures on AI data centres passed.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
The election may give renewable energy stronger political backing and make it harder to reverse course, while local votes for data-centre safeguards suggest communities want a say in the energy demands of new infrastructure. Continued investment, growing US manufacturing capacity and substantial federal funding still available could help sustain the transition despite changes in federal incentives.
The case against
A midterm result does not settle the direction of national energy policy, and the administration’s rollback of federal clean-energy incentives could weaken support and deter some projects. Voters’ data-centre measures largely addressed local construction and energy use, while expected growth in data centres remains unchanged, so the results do not necessarily signal a broad mandate for renewables or constrain demand for power.
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