EDP Renováveis (EDPR), the world's fourth-largest wind energy producer, expects that renewable energy legislation introduced under President Joe Biden will remain largely intact even as Donald Trump prepares to take office in January. The company's CEO, Miguel Stilwell d'Andrade, noted on Wednesday that the Inflation Reduction Act (IRA), a policy cornerstone under Biden that has channeled substantial investments into clean energy, has primarily benefited states with strong Republican representation.
Stilwell d'Andrade emphasized that many of these investments translate to job creation and economic growth, making significant cuts to the IRA politically challenging. “We believe that the benefits these states have gained under the IRA make it unlikely the legislation will face substantial cuts,” he said in an analyst call. Stilwell d'Andrade added that he expects continued growth for EDPR in the U.S., which is the company's largest market, accounting for around 8 gigawatts (GW) of its installed capacity.
Despite Trump's campaign commitments to roll back Biden's climate policies and end offshore wind projects, the renewable energy sector has shown resilience, with notable expansion during Trump's previous term. Stilwell d'Andrade cited a recent letter from 18 House Republicans to House Speaker Mike Johnson advocating for IRA tax credits, underscoring that 80% of IRA-related investment has gone to Republican states, fueling local job creation.
While Trump may pursue policies supporting nuclear energy revival and increased natural gas usage, EDPR's CEO does not foresee a broad shift against renewables, particularly as demand for electricity remains strong.
