But that’s not the only bad stuff that’s in the bill – it will also inflate your electricity costs and threaten a recent boom in solar installations that is helping to grow domestic energy production and feed power-hungry data centers for AI.
The tax bill eliminates popular solar credits that had helped American homeowners to save money on their electricity bills. The main credit in question is the 30% residential solar tax credit, often known as the Investment Tax Credit (ITC).
The credit for homeowners would be sunset at the end of this year, if the bill passes the Senate. The commercial credit would sunset more slowly, but faster than the current law.
The republican bill will raise your electricity costs
The Clean Energy Buyers Association released a report earlier this year showing how repealing solar credit would raise the average American’s electricity bills by 7% by 2026, the equivalent of a $110 yearly increase. And for businesses, electricity bills will increase by about 10% – higher costs that will then be passed on to consumers in the form of higher prices for consumer goods.
It’s particularly important for the US to add more electrical generation capacity at the moment, because two electricity-hungry industries are rapidly scaling up: AI and electric cars.
The US needs more electricity, and fast
Electric cars actually save energy compared to gas cars, and are 4-6x more efficient per unit energy. However, since gas cars aren’t fueled by electricity, energy delivery will have to shift away from gasoline and towards electrical distribution.
So more electrical generation capacity needs to be added in order to unlock the potential energy efficiency gains (and thus cost savings) from fleet electrification.
Many of these data centers are trying to find green sources of energy in order to offset their wasteful overuse of resources, or at least to greenwash it. So companies have been installing solar, wind, or investigating the possibility of small modular nuclear reactors, which are highly energetic and also zero-carbon, but much more expensive than renewables.
And solar, as mentioned above, is a rapidly deployable electricity generation method, and can often leverage already underutilized space (i.e. rooftops) to help confront today’s energy challenges.
The bill surrenders both points to China
On both of these points, EVs and AI, cutting solar installations will only help to cede ground to China.
By disincentivizing a generation method that can be deployed rapidly, it will make it more difficult to electrify the US fleet, which means US manufacturers will probably spend less focus on EVs (more on that here).
Also, China is rapidly advancing its own AI tech, which it says is more efficient than ours (but that may not be true). Making electricity more expensive for companies, and making it harder for companies to install the generation capacity they need to fuel their data centers, will only serve to choke the industry compared to its international competitors.
Solar industry responds
The Solar Energy Industry of America responded, with similar points that we’ve brought up here.
“If Congress does not change course, this legislation will upend an economic boom in this country that has delivered an historic American manufacturing renaissance, lower electric bills, hundreds of thousands of good-paying jobs, and tens of billions of dollars of investments primarily to states that voted for President Trump.
“This unworkable legislation is willfully ignorant of the fact that deploying solar and storage is the only way the U.S. power grid can meet the demand of American consumers, businesses, and innovation. If this bill becomes law, America will effectively surrender the AI race to China and communities nationwide will face blackouts.
“But that’s not all: Americans’ electric bills will soar. Hundreds of factories will close. Hundreds of billions of dollars in local investments will vanish. Hundreds of thousands of people will lose their jobs. Families will lose the freedom to control their energy costs. And our electric grid will be destabilized.
“It’s not too late for Congress to get this right. The solar and storage industry is ready to get to work with the U.S. Senate on a more thoughtful and measured approach to unleashing true American energy dominance to create a brighter future for all Americans.”
-Abigail Ross Hopper, president and CEO of the Solar Energy Industries Association (SEIA)
This can change, if the Senate has a spine
From here, the tax bill goes on to the Senate, where it could be modified to take out these poison pills that inflate costs for Americans and threaten US competitiveness globally. The Senate is often though of as a more deliberative body which can tamp down on the excesses of the House, though it failed to do so in another republican anti-clean-air effort today.
If you have a republican Senator, it might be worth letting them know that you support lower electricity costs and keeping America competitive, and therefore that you oppose the anti-solar measures in this bill.
The argument could be made stronger in states that have received significant investment for battery plants, which are important for grid and home storage as backup for solar systems. Battery projects are particularly popular in states like Georgia, North Carolina, and others along the burgeoning US “battery belt”.
To make a comment,, you can find your Senator on Congress’ website, and then search for the contact form on your Senator’s website to get in contact with them.
Of course, if you have a Democratic Senator, it’s also worth letting them know that you oppose the tax bill, just in case a few of them decide to jump ranks and join the republicans in harming America. We certainly hope they don’t, and are encouraged by the fact that every Democrat in the House made the right decision here, but anything could happen.
If the rooftop solar credit is going away, it means you could have only until the end of this year to install rooftop solar on your home, before republicans raise the cost of doing so by an average of ~$10,000. So if you want to go solar, get started now, because these things take time and the system needs to be active before you file for the credit.
To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here. – ad*
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While larger solar generator setups can help through many situations, more and more people are finding convenience in owning smaller backup power solutions, especially here in NYC, with many folks having limited space to keep them. That’s where units like Bluetti’s Elite 30 V2 Portable Power Station come in, which offers a 288Wh LiFePO4 capacity to cover personal device charging with 600W of steady output that can ramp as high as 1,500W.
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Bluetti’s Elite 30 V2 power station has nine different port options to cover all the bases: two AC outlets, two USB-C ports, two USB-A ports, two DC ports, and a car port. It even beats out many counterparts/competitors of the same size range with five ways to recharge its battery: via a standard outlet, utilizing up to a max 200W solar input, using both an outlet and solar panels together, connecting a generator, or using your car’s auxiliary port.
Segway’s Ninebot F3 smart eKickScooter with Apple Find My + proximity locking gets first post-tariff cut to $750
Segway is offering a special promotional discount through August 17 on its new Ninebot F3 Electric KickScooter at $749.99 shipped, after using the code F3AUG100OFF at checkout, which beats out Amazon’s pricing by $50.This model launched back in April carrying a $850 original price tag (which Amazon still keeps it listed for) and has since hiked up to a $1,000 MSRP direct from the brand after May’s tariff hikes. The two pre-tariff discounts we saw took the costs down to $700 and $600 back in April, and while it may not be falling that low any anytime soon again, you’re still looking at a solid $100 savings from its starting rate for the third-lowest price we have tracked.
NIU drops the KQi 300X all-terrain e-scooter with a 37-mile range and regen brakes to $750 in latest sale
NIU has launched its Fan-tastic Day Sale through August 17 that is taking up to 42% off its KQi e-scooter lineup. Some of the brand’s models are still out of stock from last month, but among those still available, we spotted the KQi 300X All-Terrain Suspension Electric Scooter at $749.99 shipped, while also matching in price at Amazon. While it carries a $1,299 MSRP normally, at Amazon we’ve been seeing it mostly staying between $1,049 and $1,198, with discounts having been slowly ramping up over the course of the year. You’re looking at the best price of 2025, which saves you $549 off the MSRP and has only been beaten out by the $731 low we last saw pop up in October 2024.
Add commercial-grade power to your arsenal with Greenworks’ 82V 20-inch cordless chainsaw at a new $430 low
Amazon is now offering the Greenworks Commercial 82V 20-inch Cordless Chainsaw for $429.99 shipped. While it carries a $600 MSRP tag directly from the brand, where it’s currently priced at, we’ve seen it keep lower to $500 at Amazon. It’s been on the market for six months now, with the discounts we’ve spotted only taken the costs down to $450 until today. Now, with the 20% markdown here, you’ll save $70 while equipping your arsenal with commercial-grade power.
Keep uniform lines around yard and gardens with Worx’s 12A 7.5-inch edger/trencher at $90 (Today only)
As part of its Deals of the Day, Best Buy is offering the Worx 12A 7.5-inch Edger/Trencher for $89.99 shipped, with this model being out of stock on Amazon and sitting at a higher $140 MSRP directly from Worx’s website. It normally fetches $130 at full price here, with discounts mostly keeping the costs between $110 and $100 during 2025, though we have seen it go as low as $75 during Prime Day. You’re looking at the fourth-lowest overall price that we have tracked and the third-lowest of the year, with the deal today saving you $40 off the going rate for the rest of the day only.
The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.
Ford’s secret “skunkworks” team in California is no longer a secret and has grown significantly over the past year. Filled with former Tesla, Rivian, and Apple engineers, Ford has given the team a new, two-building EV design center to develop its upcoming lower-cost, midsize models.
Ford opens its new EV Design Center in Long Beach
The new campus in Long Beach, California, officially opened its doors on Tuesday. Ford told reporters that the new 250,000-square-foot site will become the company’s main design and innovation hub in Southern California.
Although the facility was built 95 years ago to expand production of Ford’s first vehicle, the Model A, it was later converted for military use during World War II.
Now, it will be used to shape the future of Ford. Ann Diep, a senior technical program manager at Ford, said the company will “develop a new generation of electric vehicles people are going to love” at the facility.
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After nearly a decade of launching products for Apple, Diep is now tasked with developing Ford’s new lineup of electric vehicles.
The team is led by Alan Clarke, who worked at Tesla for over a decade. Clark’s team comprises former employees from Tesla, Rivian, Lucid, and Apple, creating an EV platform that will power Ford’s upcoming lineup of smaller, more affordable models.
Ford opens new EV design center in Long Beach, California (Source: Ford)
Benchmarking EV leaders to cut costs
Last year, Ford’s CEO, Jim Farley, said the team was benchmarking costs “against the best competitors in the world,” in particular, Chinese brands.
According to Farley, the first EV based on the platform will be a midsize electric pickup that will “match the cost structure of Chinese OEMs building in Mexico.” It’s scheduled to launch in 2027. Ford will use LFP batteries to reduce costs, which will be manufactured at its new battery plant in Michigan, but licensed from China’s CATL.
2025 Ford F-150 Lightning (Source: Ford)
We learned the platform will support eight different body styles, including trucks, crossovers, SUVs, and possibly sedans.
During a “candid dinner discussion” with lead Bernstein analyst Daniel Roeska in June, Lisa Drake, Ford’s vice president of tech platform programs and EV systems, offered a few insights.
Ford Mustang Mach-E (left) and F-150 Lightning (right) (Source: Ford)
Roeska told investors (via Axios) that “Lisa Drake was explicit: Ford intends to match the cost structure of leading Chinese players.” The memo added “that means not just battery pricing, but full system cost from chassis and thermal systems to inverters and electronics.”
Ford will reveal more about its “plans to design and build a breakthrough electric vehicle and platform in the US,” on August 11.
Farley is hyping it up as the company’s next “Model T moment,” adding that it’s “a chance to bring in a new family of vehicles” that will shape the future of Ford.
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A liquefied natural gas tanker is tugged toward a thermal power station in Futtsu, east of Tokyo.
Issei Kato | Reuters
The Trump administration is touting commitments by foreign nations for future large purchases of U.S. energy as part of recent trade deal frameworks, including with the EU, Indonesia, and South Korea, but a separate recent mandate from the U.S. Trade Representative to promote domestic shipbuilding may stand in the way of making those liquified natural gas shipments reality.
The USTR policy mandates that 1% of U.S. LNG exports be carried on U.S.-flagged ships starting in April 2028, and a year later, 1% needs to be transported on U.S.-built ships. Subsequent annual increases of 1% would reach a total of 15% of U.S. LNG required to be on U.S.-built vessels by 2047.
“The requirement of U.S.-built ships to move the country’s LNG and crude is problematic,” said Jason Feer, global head of business intelligence for Poten & Partners, a company specializing in energy market analysis and consulting, particularly in the LNG sector.
The U.S. government’s new shipbuilding policy was undertaken as part of an investigation into China’s dominance in the shipbuilding industry, as part of the broader national security concerns of the U.S. government (the Biden administration was pursuing the issue as well and released a report in January 2025 stating its recommendations). China manufactures as much as 75%-80% of global freight fleets. In April, Trump announced the new USTR policy to rebuild America’s shipbuilding industry.
There is only one U.S.-flagged LNG vessel currently operating, Crowley’s American Energy, but it was made in France in 1994 and began service in March 2025 to carry LNG from the U.S. Gulf Coast to Puerto Rico. It is a Jones Act vessel, which means that, based on the 1920 maritime commerce law covering shipments between U.S. ports, it needs to be staffed by a U.S. captain and crew, and registered in the U.S., to be U.S.-flagged.
The current number of LNG carriers operating globally is 682, according to Poten & Partners. Only one of those vessels, the LNG Aquarius, was built by the United States. The LNG Aquarius was ordered on July 1, 1974, and delivered by General Dynamics on June 7, 1977. The vessel currently sails under the Indonesian flag, based on MarineTraffic vessel information.
By 2047, Poten & Partner estimates the U.S. would need 45 vessels to move the 15% of LNG required by the USTR guidelines. Currently, there is only one U.S. vessel on the global order books out of a total of 331 planned vessels, Feer said. On paper, he added, the number of LNG vessels on the order books “looks good” to support a U.S. energy export expansion. But under the new USTR guidelines, these vessels would not be eligible.
Hanwha Shipping, a U.S. subsidiary of South Korea’s Hanwha Ocean, is now building a domestic liquefied natural gas carrier through its affiliate, Hanwha Philly Shipyard. This vessel will be the first U.S.-ordered, export market-viable LNG carrier in almost 50 years. A second possible LNG vessel could also be ordered.
Based on the history of LNG shipbuilding, it takes approximately two and a half years for an LNG vessel to be built.
“Globally, you can build a lot of ships to support an expansion, but the problem is it has to be built in a U.S. shipyard, and the U.S. has not built a commercial ocean-going vessel in decades,” said Feer. “In that time, we have lost a lot of shipbuilding capacity, and the yards we have open are used for building Jones Act domestic ships and the Navy.”
Another hurdle, Feer said, is the constraints in hiring skilled labor. “There are not enough craft workers — pipefitters, carpenters, welders. Trying to build all of this, on top of a set deadline, is going to be a huge challenge,” he said.
The costs associated with that skilled labor will also be a factor. It costs around $260 million to build an LNG vessel, according to industry estimates. A U.S.-made vessel can be approximately two to four times more expensive.
Feer says there needs to be more clarity on what constitutes a U.S.-made vessel within the USTR mandate.
“Could the majority of the vessel be manufactured overseas and completed in the U.S.? Is it a U.S.-made engine? How many of the LNG vessels made by Hanwha would be made in Korea and finished here? It is unclear how feasible the USTR mandate is,” he said.
Louis Sola, former Federal Maritime Commission Commissioner appointed by President Trump, and now a partner at lobbying firm Thorn Run Partners, tells CNBC the math doesn’t work.
“The question everyone is asking is simple,” Sola said. “Can the U.S. actually build enough LNG carriers fast enough under the SHIPS Act without shooting ourselves in the foot? We’ll need as many as 50 vessels by 2050. Korean and Japanese yards already take over two years per ship and are booked solid, and we don’t currently build this class here whatsoever,” he added.
The USTR did not respond to a request for comment.
“Without some common-sense flexibility or a phased-in approach, the math just doesn’t add up. We risk bottling up our own LNG exports and opening the market to the competition right when our allies need American energy the most,” Sola said.
According to BIMCO, the largest association for global ship owners, U.S. exports comprise up to 27.5% and 9.5% of global LNG and crude tanker demand, respectively. The U.S. predominantly uses South Korean LNG vessels to move the commodity.
Overall, 78% of the LNG fleet is built in South Korea, while 13% and 7% are from Japan and China, respectively, according to BIMCO. South Korean shipyards also dominate the order book, with 64% of capacity on order, but Chinese shipyards are increasingly getting orders and now have 32% of capacity on order.
Reflagging of vessels, USTR mandate waivers
Niels Rasmussen, chief shipping analyst for BIMCO, says one potential workaround is foreign-built ships that can currently be reflagged under specific conditions.
These ships must be owned by U.S. citizens or entities and qualify for one of the following programs: the Maritime Security Program, Cable Security Fleet, Tanker Security Fleet, Voluntary Intermodal Sealift Agreement, or Ready Reserve Fleet. “The SHIPS Act would also permit the reflagging of foreign-built ships for inclusion in the new Strategic Commercial Fleet Program (SCFP) for a seven-year period, which can be extended twice,” said Rasmussen
As U.S.-built and flagged ships become available, they will replace foreign-built ships in the 250-ship SCFP fleet. However, foreign-built LNG tankers in the SCFP fleet would seemingly not satisfy USTR LNG export and would require a waiver to be able to export LNG, he said.
According to shipping consultant Clarkson’s, 2025 will see a record delivery of LNG vessels.
In addition to South Korea’s lead position in ship orders, Swiss marine engine company WinGD has the most popular engine, and French engineering company Gaztransport & Technigaz, which specializes in membrane containment systems for liquefied natural gas (LNG) and other cryogenic gases, is the dominant containment system being used in the new vessels.
The U.S. may have to fall back on a waiver provision in the USTR mandate, according to energy experts.
The waiver provision, if used, would increase the cost of vessel components by 25%, but may be the best option relative to an unreasonable delay in ship availability, said Andrew Lipow, president of Lipow Oil Associates.
Lipow said if there are not enough LNG vessels, a situation which could impact LNG production and crude production, the use of waivers would need to be considered.
“Oil wells also produce some associated natural gas with it so this can also impact U.S. oil production,” said Lipow. “The administration will not want to put the country in a situation where they would have to shut in production. If the markets are fearful that the U.S. does not have the ability to export LNG, prices could go down, and that would most likely lead to a waiver,” he added.
Lipow noted that the use of waivers has been seen before in Jones Act vessels, so a foreign-flag vessel could transport U.S. gasoline between two U.S. ports. “There is precedent for waivers on foreign-flag vessels to mitigate supply disruptions,” he said.