This article was produced for ProPublica’s Local Reporting Network in partnership with Oregon Public Broadcasting. Sign up for Dispatchs to get articles delivered to your inbox every week.
Oregon Gov. Tina Kotek has ordered state officials to take “all necessary steps” to fast-track permitting for solar and wind power, which would likely miss out on federal tax credits if construction doesn’t start by next year or Congress adjourns.
The move follows reports from Oregon Public Broadcasting and ProPublica about the role of the state’s lengthy permitting process, which renewable energy advocates say has one of the slowest growth rates in green energy in the country. At the time, Kotek’s office said it was “carefully evaluating opportunities to streamline Oregon’s energy siting process.”
The Democratic governor’s order does not change existing state law, and at least one leading green energy advocate has voiced skepticism about its impact because it fails to address another obstacle to construction: the federal government’s slow pace at adding transmission capacity to accommodate new wind and solar power.
In announcing the order Monday, Kotek’s office argued it was the state’s attempt to reduce the risk of losing federal tax incentives that make “shovel-ready” projects more affordable.
“With the Trump administration’s promised incentive repeal, states must step up as their last line of defense against climate change. We must urgently build out our renewable energy infrastructure,” Kotek said in a statement. “We cannot afford to lose this important opportunity.”
Oregon needs to build more renewable energy projects, such as wind and solar, to meet its renewable energy goals. Additionally, the state has also experienced rising electricity prices due to a surge in demand. But as OPB and ProPublica have reported, Oregon lawmakers have paid little attention to the region’s inadequate transmission system. Additionally, they have vetoed or watered down legislation aimed at making it easier for developers to get wind, solar and transmission projects through the state’s approval process.
And this year, President Donald Trump signed a bill called the “One Big Beautiful Bill Act.” It set a schedule to end the federal Investment Tax Credit and Production Tax Credit, which can finance 30% to 50% of most solar and wind power projects. The credit was amended and extended as part of the Inflation Control Act during President Joe Biden’s administration.
The bill President Trump signed says projects can qualify for the credits if they meet a July 4, 2026, groundbreaking deadline and are completed by 2030. But projects that don’t break ground by July 4 must be operational by Dec. 31, 2027, to qualify. It is believed to be a difficult time frame to achieve.
According to one analysis, the loss of credits could cost Oregon about 4 gigawatts of planned wind and solar energy, which is enough to power about 1 million homes. Oregon currently has 11 wind and solar projects at risk of not qualifying for tax credits, according to Atlas Public Policy, a Washington, D.C.-based data and policy firm.
Nicole Hughes, executive director of the advocacy group Renewable Northwest, said that despite Kotek’s order, Oregon may not receive tax credits for all or even some of these projects.
Hughes said that’s because “even projects that have already gone through the permitting process are being held back by a large transmission queue backlog and some transmission upgrades that these projects have been waiting on.”
Aside from state permits, energy developers must wait for the federal Bonneville Power Administration to allow their projects to connect to power lines. Bonneville owns about 75% of the Northwest’s power lines, which are nearly full and have no capacity to provide new sources of power. It could take years for Bonneville to determine whether a proposed project can connect to its grid.
“I don’t think it’s right to just look at the July 2026 deadline,” Hughes said. “Our energy challenges extend far beyond that day, so we need to think longer term about how to move projects through both the permitting and transmission processes more quickly.”
Still, she said Kotek’s order is a good first step, signaling to state officials that moving renewable energy projects forward is a priority.
Kotek’s office declined to comment on concerns raised about the executive order’s limitations.
A Bonneville spokesperson said the interconnection process has been changed to a “first-come, first-serve” process, which the agency says will improve the current backlog. A spokesperson said the federal agency will add about 2 gigawatts of new energy projects by the end of 2028, and the first phase of an interconnection study that could add more is expected to be completed in January.
The executive order directs the Oregon Department of Energy and the State Energy Facility Siting Council to identify and prioritize siting approvals for projects that must begin construction by July 4. Top priority will be given to projects that have solid contracts in place between developers and utilities and can demonstrate expected benefits to Oregon ratepayers.
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The governor’s order also says the Oregon Public Utilities Commission should consider using outside contractors to study how solar and wind projects will connect to the grid in the future.
“Congress and the Trump administration have launched an all-out assault on affordable clean energy and a secure climate future,” Oregon Climate Solutions Director Nora Apter said in a statement released by the governor’s office. “Governor Kotek is protecting Oregon families, family-wage jobs, and energy resiliency by acting quickly to get as many wind and solar projects across the finish line as possible before federal tax credits are lost.”
Oregon will join several states, including Colorado, Maine and California, that have already moved to expedite approvals for eligible projects because of expiring federal tax credits.
