Four Republican legislators introduced a bill on Thursday with the goal of preserving certain tax credits for clean energy projects. The “American Energy Dominance Act” is centered on extending the effective lengths for energy efficiency, clean hydrogen and renewable energy tax credits, including the investment tax credit (48E) and production tax credit (45Y) for commercial and qualifying residential solar projects.
“Amid soaring electricity costs and tens of billions in clean energy projects getting cancelled and delayed across this country, this is a modest — but smart — step back in the right direction,” said Bob Keefe, executive director of E2, in a press statement. “Lawmakers on either side of the political aisle are beginning to realize that there shouldn’t be anything political or partisan about cheaper energy, more efficient homes and the jobs, investments and energy security that comes with building more clean energy.”
The bill was drafted and introduced by congressmen Brian Fitzpatrick (R-PA), Mike Lawler (NY-17), Rep. Max Miller (OH-7) and Mike Carey (OH-15), and was written in collaboration with North America’s Building Trades Unions.
In their current state, 45Y and 48E are scheduled to expire at the end of 2027, and safe harboring projects under these tax credits — which requires incurring a percentage of a project’s cost or completing a “physical work test” — must be completed by July 4 this year. The effective terms of these tax credits were modified last year when the Trump administration introduced and passed the One Big Beautiful Bill Act. The residential investment tax credit (25D) for solar expired at the end of 2025.
“If America wants to lower costs, strengthen its energy supply and build with confidence for the future, then we need a policy framework strong enough to support that scale of work,” said Fitzpatrick in a press release. “That means certainty. When the rules are unstable, projects stall, hiring slows, investment hesitates and the people counting on progress pay the price.”