Every industry has a relationship with the government and the government of one level or another has the ability to push forward or slow down the industry. Sometimes it is the government of the day favors one sector other another; sometimes the government has many different pitches and it picks the legacy one; there are other multiple reasons, but it is safe to say governments can help or hinder projects.

In an article by Rebecca F. Elliot of the New York Times News Service, it is clear President Trump favors oil and gas and coal industries over solar and wind power. The President has said as such many times and equally important Congress is rolling back clean-energy tax credits and thrown up legislative road blocks for wind and solar farms to be built.

However, the pipeline to build wind and solar is so big that analysts expect the US to add a record amounts of renewable energy and batteries through 2027. BloombergNEF, a research firm, recently raised its forecast by more than 10%.

Wind and solar projects must be under construction by July to be eligible for federal tax credits. To hit that deadline, many developers have ordered custom power transformers – devices used to increase or decrease voltage – solar panels and other equipment much sooner than they would normally have in an effort to show the IRS the project is under way.

Part of the reason for the demand for solar and wind is due to the AI demand because solar and batteries can be installed much faster than installing new natural gas, nuclear or coal plants. There is no offshore wind farms being built, because the Trump administration shut them down.

Linking to dividend paying stocks, the important issue is the demand of whatever the company sells. If demand is rising, which is a good thing, then it is easy to see profits being made and dividends paid. You learnt about supply and demand and for many industries those simple lines are the key to understanding what is going on with your investments. Ideally, the government is supporting the industry.

There are more questions than answers, till the next time – to raising questions.