A whirlwind of legislative activity is reshaping the landscape of energy and technology policy in 2025. As Venezuela’s situation unfolds, focus shifts to the United States, where significant moves in congressional actions, clean energy investment, and technological infrastructure are taking place. From the House’s legislative overhaul with the SPEED Act to the Federal Energy Regulatory Commission’s (FERC) directives on AI data centers, these developments signal a pivotal convergence of energy, national security, and tech policy that will define the coming year.
Permitting Reform Takes Center Stage
The House of Representatives has approved the SPEED Act, a major reform of the National Environmental Policy Act (NEPA), with a vote tally of 221-196. The bill, supported by a mix of 11 Democrats and Republicans, aims to make it difficult for future presidents to withdraw energy project permits, a bipartisan effort led by Rep. Bruce Westerman (R-AR) and Rep. Jared Golden (D-ME). Despite internal GOP conflicts and adjustments to the bill, it successfully passed, though it may face hurdles in the Senate. Broader negotiations could extend to include Clean Water Act reforms and interstate transmission development, key for integrating clean energy into the national grid.
Adding complexity to the SPEED Act’s path, the White House has suspended all US offshore wind projects just before Christmas. This decision aligns with President Trump’s previous stance against offshore wind and could influence the bill’s support among Democrats and Republicans, potentially impacting the GOP’s position in the 2026 midterms amid rising electricity costs and supply concerns.
National Defense Authorization Act Advances
Congress has successfully passed the FY26 National Defense Authorization Act (NDAA), allocating $901 billion for national security, surpassing the president’s budget by $8 billion. Its provisions are set to impact energy and industrial policies significantly. The expanded Defense Industrial Base Fund will now cover defense supply chains, emphasizing critical minerals and materials. Furthermore, the NDAA introduces an Ambassador-at-Large for Arctic Affairs to oversee US interests in the Arctic, particularly in energy security and critical minerals.
The bill also updates technology categories for the Office of Strategic Capital, encompassing nuclear energy technologies, and extends the Defense Production Act until 2026. Reauthorization of the US International Development Finance Corporation (DFC) broadens its authority, raising its investment cap to $205 billion and expanding its geographic and sectoral scope, including energy and critical minerals.
Legal Challenges to Renewable Tax Credits
A diverse coalition has filed a lawsuit against Trump-era rules affecting wind and solar tax credits. The suit, centered in the US District Court for the District of Columbia, challenges new Treasury Department guidance that modifies construction start rules for renewable projects, potentially violating the Administrative Procedure Act. The plaintiffs, including the Oregon Environmental Council, argue these changes unfairly target renewables, threatening industry jobs and investments. The lawsuit seeks to overturn these rules as part of broader opposition to the rollback of prior clean energy policies. The Treasury and IRS have not commented on the case.
FERC’s Directive on AI Data Centers
The Federal Energy Regulatory Commission (FERC) has mandated PJM Interconnection to revise rules for AI data center connections to the grid. FERC found PJM’s current tariff lacking in clarity, requiring new transmission service options to be proposed early in the year. This move is expected to influence broader regulatory approaches, including the Department of Energy’s proposal to accelerate data center interconnections, which FERC Chair Laura Swett indicated is under active review.
DOE’s Genesis Mission and AI Collaborations
The Department of Energy (DOE) is forging ahead with the Genesis Mission, partnering with 24 organizations to boost AI innovation in the US. Collaborators include tech giants such as Amazon Web Services, Google, IBM, and NVIDIA. The DOE continues to seek input through open RFIs on transformational AI partnerships and capabilities for national security, with deadlines extending into January 2026.
Investment in Critical Minerals
In a strategic move, the Trump administration is supporting a $7.4 billion zinc smelter project in Tennessee, led by Korea Zinc. This initiative, part of a broader goal to enhance domestic critical mineral production, involves a $1.9 billion joint venture with the Department of War’s Office of Strategic Capital. It aligns with South Korea’s $350 billion US investment commitment amidst trade talks and tariff negotiations.
Original Story at www.mintz.com