For years, the federal government has handed out tax credits and subsidies to wind, solar, and electric vehicle programs. These efforts were supposed to help new technologies grow and eventually compete on their own. But decades later, they are still heavily supported by taxpayer money, and the results have been mixed at best.
That is why the Big Beautiful Bill is a welcome change. It is a reconciliation package focused on energy, taxes, and spending. And for once, it does not extend the usual tax breaks for wind and solar. It also avoids expanding subsidies for electric vehicles. That is a step in the right direction.
Wind and solar might sound promising, but they do not provide steady power. When the wind is still or the sun sets, those energy sources stop working. Utilities have to rely on backup sources like natural gas or nuclear to keep the power on. According to the North American Electric Reliability Corporation, depending too much on intermittent energy has contributed to grid instability and blackout risks in several parts of the country.
Even with their limitations, these industries continue to receive generous federal support. According to the U.S. Energy Information Administration, total federal subsidies renewable energy reached $15.6 billion in fiscal year 2022. That was more than double the amount spent in 2016. The majority of that support went to wind and solar through tax credits, grants, and direct expenditures.
The bill also avoids expanding electric vehicle tax credits. That is a smart decision. According to a study by the National Bureau of Economic Research, close to 90% of EV tax credits go to households in the highest income brackets. These are people who can already afford to buy electric vehicles, with or without help. Meanwhile, working families are left paying for these subsidies through taxes and rising energy costs.
There is a better path forward. Instead of rewarding technologies that only work part of the time, we should focus on energy sources that deliver reliable power around the clock. Nuclear power is one of them. It is clean, efficient, and already provides about 19% of the electricity in the United States. Yet it receives only a fraction of the funding and support that wind and solar get.
The Big Beautiful Bill moves us in the right direction. It does not continue the pattern of throwing more money at unreliable energy. It starts to shift the focus toward balance, performance, and long-term stability. That is what our grid needs, and that is what Americans deserve.
Lawmakers should stand firm. Do not let anyone add back the same costly credits that failed to make our energy system stronger. Real energy progress means investing in what works and letting go of what does not.