Lone Star Renewables: Industry Updates from the UT Renewable Energy Law Conference

Feb 12, 2020

Reading Time : 2 min

Conference Highlights:

  • Akin Gump partner Andrea Lucan presented “Renewable Energy Financing Essentials,” discussing project finance as a means to fund renewable energy projects, and the various avenues and structures for financing a project (e.g., cash equity, tax equity using both partnership flip and inverted lease structures, and back and front leverage construction and term debt).
  • Conference attendance confirmed that interest in renewable energy generation continues to expand into the traditional power industry, with several well-known utilities, oil and gas companies sending representatives to learn more about industry trends.

What message resonated most from the Renewable Energy Law Conference?

Adoption of renewable energy technologies is on the rise, with renewable energy deal volume expected to set a record in 2020. In fact, there is a severe backlog in getting projects online and securing developers to perform the work. Wood Mackenzie expects around 15,000 MW of new and repowered wind projects to be installed nationwide in 2020, but says more than half that capacity is at risk of spillover to 2021 due to bottlenecks in logistics, labor markets and interconnection queues. Expect interconnection congestion to remain an issue in the short- to mid-term, with wind development slowing down slightly towards the end of the 2020s as siting and congestion continue to limit opportunities for viable projects.

Additionally, market data indicates that young adults of both major political parties are concerned about global warming. Many expect to see the Republican Party warm to the idea of green energy in the coming years as global warming becomes an ever-growing concern of their voter base.

Will the Investment Tax Credit get renewed?

Solar industry representatives and lobbyists are still feeling slighted by the last minute deletion of an extension of the 30 percent Investment Tax Credit (ITC) from the December 2019 tax extender bill (The Consolidated Appropriations Act, 2020) considering the wind industry scored its impressive last minute production tax credit extension. Expect the solar industry to continue lobbying for an extension (and increase) in the ITC throughout 2020, although insiders anticipate that progress in this election year may be difficult.

What is the latest news on battery storage technology?

Battery storage technology continues to see decreases in costs and increases in efficiency and longevity. As renewables continue to gain traction nationwide, utility scale battery storage technology is expected to skyrocket from 1,000 MW in nationwide capacity in 2019 to over 4,000 MW in nationwide capacity by 2023. 

California will continue to lead the country in storage capacity for the foreseeable future, but New York, Florida and Massachusetts all have significant storage projects planned or already underway.

Share This Insight

Previous Entries

Speaking Energy

May 22, 2025

On May 19, 2025, the Department of Energy (DOE) finalized its 2024 LNG Export Study: Energy, Economic and Environmental Assessment of U.S. LNG Exports (the 2024 Study) through the release of a Response to Comments on the 2024 Study. The Response to Comments concludes that the 2024 Study, as augmented through public comments submitted on or before March 20, 2025, supporting a finding that liquefied natural gas (LNG) exports serve the public interest. With the comment process complete, DOE will move forward with final orders on pending applications to export LNG to non-free trade agreement (non-FTA) countries.

...

Read More

Speaking Energy

May 20, 2025

On Thursday, May 15, the Senate Commerce, Science & Transportation Subcommittee on Surface Transportation, Freight, Pipelines and Safety held a hearing titled, “Pipeline Safety Reauthorization: Ensuring the Safe and Efficient Movement of American Energy.” The hearing examined legislative priorities for reauthorizing the Pipeline and Hazardous Materials Safety Administration (PHMSA).

...

Read More

Speaking Energy

April 15, 2025

On April 9, 2025, President Trump issued an executive order (EO)1 directing several federal agencies and subagencies that regulate energy, environmental, and conservation matters,2 including the Federal Energy Regulatory Commission (FERC) and the Department of Energy (DOE), to establish conditional sunset dates for “regulations governing energy production.” The stated objective of the EO is to require agencies to periodically reexamine their regulations to ensure that they continue to serve the public good. For FERC, the order covers regulations promulgated under the Federal Power Act (FPA), the Natural Gas Act (NGA) and the Powerplant and Industrial Fuel Use Act (FUA)3, as amended, while DOE must consider regulations promulgated under the Atomic Energy Act (AEA), the National Appliance Energy Conservation Act, the Energy Policy Act of 1992 (EPAct 1992), the Energy Policy Act of 2005 (EPAct 2005) and the Energy Independence and Security Act of 2007 (EISA), as amended (collectively the Covered Regulations).4 To the extent the DOE has been directed to promulgate regulations under various sections of the NGA, FPA and FUA, and FERC has been directed to promulgate regulations specific to the statutes attributed to the DOE in the EO, the EO is silent. The EO expressly does not apply to those “regulatory permitting regimes authorized by statute.”5

...

Read More

Speaking Energy

April 10, 2025

On April 8, 2025, President Trump issued an Executive Order (EO) directing the Department of Energy (DOE) to take steps to expand the use of its emergency authority under Federal Power Act (FPA) Section 202(c) to require the retention of generation resources deemed necessary to maintain resource adequacy within at risk-regions of the bulk power system regulated by the Federal Energy Regulatory Commission (FERC).1 The EO appears to envision a more active role for DOE in overseeing and supporting the resource adequacy of the grid that deviates from the historic use of Section 202(c) and touches on issues at the intersection of state and federal authority over resource planning.

...

Read More

Speaking Energy

March 10, 2025

On March 5, 2025, the United States Department of Energy (DOE) approved Golden Pass LNG Terminal LLC’s (GPLNG) request to extend a deadline to begin exporting liquefied natural gas (LNG) from its terminal facility currently under construction in Sabine Pass, Texas for 18 months, from September 30, 2025, to March 31, 2027 (the Order). The Order amends GPLNG’s two existing long-term orders authorizing the export of domestically produced LNG to countries with which the United States does and does not have free trade agreements (FTA).1  The Order does not amend the authorizations’ end date, which remains December 31, 2050. Under section 3 of the Natural Gas Act (NGA), the DOE may authorize exports to non-FTA countries following completion of a “public interest” review, whereas exports to FTA countries are deemed to be in the public interest and the DOE is directed to issue authorizations without modification or delay.

...

Read More

Speaking Energy

March 4, 2025

Join projects & energy transition partner Shariff Barakat at Infocast’s Solar & Wind, where he will moderate the “Tax Equity Market Dynamics” panel.

...

Read More

Speaking Energy

February 13, 2025

Oil & gas companies continue to identify and capitalize on opportunities related to the deployment of new energy technologies, with their approaches broadly maturing and coalescing around maximizing synergies, leveraging available subsidies and responding to regulatory drivers.

...

Read More

Speaking Energy

February 11, 2025

On January 30, 2025, the Federal Energy Regulatory Commission (FERC or the Commission) approved a Stipulation and Consent Agreement (Agreement) between the Office of Enforcement (OE) and Stronghold Digital Mining Inc. (Stronghold) resolving an investigation into whether Stronghold had violated the PJM Interconnection, L.L.C. (PJM) tariff and Commission regulations by limiting the quantity of energy made available to the market to serve a co-located Bitcoin mining operation.1 This order appears to be the first instance of a public enforcement action involving co-located load and generation and comes at a time when both FERC and market operators2 are scrutinizing the treatment of co-located load due to the rapid increase in demand associated with data center development.

...

Read More

© 2025 Akin Gump Strauss Hauer & Feld LLP. All rights reserved. Attorney advertising. This document is distributed for informational use only; it does not constitute legal advice and should not be used as such. Prior results do not guarantee a similar outcome. Akin is the practicing name of Akin Gump LLP, a New York limited liability partnership authorized and regulated by the Solicitors Regulation Authority under number 267321. A list of the partners is available for inspection at Eighth Floor, Ten Bishops Square, London E1 6EG. For more information about Akin Gump LLP, Akin Gump Strauss Hauer & Feld LLP and other associated entities under which the Akin Gump network operates worldwide, please see our Legal Notices page.