Maine and Connecticut are considering working together to build renewable-energy projects faster, a strategy that could be repeated throughout the region as states with ambitious emissions-reduction goals race to take advantage of federal tax credits before they disappear.
“They’re trying to collaborate, trying to coordinate,” said Francis Pullaro, president of clean-energy trade association Renew Northeast. “This is a preview of what’s to come.”
The next eight months are crucial for commercial-scale clean-energy developments nationwide. The tax credits included in former President Joe Biden’s 2022 Inflation Reduction Act spurred massive investment in the sector, with more than $360 billion in projects already announced as of June 2024. Now the Trump administration is phasing out the incentives for wind and solar farms, requiring them to begin construction by July 4, 2026, or be placed in service by the end of 2027 in order to qualify for the tax credits. Across the country, states are responding by streamlining permitting processes and fast-tracking clean-energy procurements to get projects going in time.
Maine and Connecticut — which both aim to get all of their power from clean sources by 2040 — have been among the states looking for ways to get projects in under the deadline. In July, Maine asked for proposals for up to 1,600 gigawatt-hours of renewable energy, giving developers just two weeks to submit their bids; regulators selected one hydropower and four solar developments in September.