When Congress passed the One Big Beautiful Bill Act (“OBBBA”) this summer, it didn’t just rewrite tax policy — it reshaped the future of U.S. renewable energy.
For wind and solar developers, the bill accelerates deadlines and raises compliance hurdles. For landowners with projects planned on their property, it could affect both the timeline and value of their leases.
What the Bill Changes
OBBBA shortens the eligibility window for key federal clean-energy tax credits — the Production Tax Credit (PTC) for wind and the Investment Tax Credit (ITC) for solar and storage.
Projects must now begin construction by mid-2026 to qualify. The bill also tightens the definition of “begin construction,” imposes stricter supply-chain sourcing rules (particularly regarding components from China), and increases documentation and compliance requirements.
Impact on Developers
These changes compress multi-year development cycles into a much shorter window. Large wind farms and utility-scale solar projects — which often take years to permit, finance, and connect — now face significant pressure to break ground quickly.
Many projects may be delayed, downsized, or canceled if they can’t meet the new deadlines. Financing is also becoming more complex as lenders and investors weigh the risk of losing tax credit eligibility mid-project.
What It Means for Landowners
Landowners hosting or negotiating wind and solar leases should expect a few key shifts:
• Faster timelines: Developers may request earlier site access or construction activity.
• Uncertain outcomes: Projects that miss the new deadlines could be delayed indefinitely.
• Shifting economics: If tax credits disappear, long-term lease payments or bonuses could be reduced.
If your project’s schedule or communication with a developer changes, it’s worth asking directly how the Big Beautiful Bill affects their plans — and reviewing your lease terms carefully.
The Bottom Line
The Big Beautiful Bill brings both risk and opportunity. Projects that move quickly and source components domestically are likely to survive and thrive, while others may struggle under the new rules.
For landowners, staying informed and proactive is key. The clean energy landscape is shifting — and those who understand how policy changes impact their land are best positioned to benefit.
A lease buyout can also be an attractive option in this environment. It allows landowners to receive a large, lump-sum cash payment now in exchange for future lease income. With project deadlines accelerating and new risks emerging, a buyout can help lock in value upfront, reduce uncertainty, and provide immediate liquidity for other investments, improvements, or retirement planning. While every situation is unique, many landowners view a buyout as a way to convert long-term, uncertain payments into guaranteed value today.
If you’d like more information about Madison Street Energy’s renewable energy lease buyout program, please reach out. Whether your project is operational or still under development, we’re here to offer a clear, informed option.