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Maryland officials warn federal rollbacks threaten state clean-energy progress and affordability

Environment and Transportation Committee · December 16, 2025

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Summary

State environmental and energy officials told lawmakers federal actions that cut tax credits and reshape agency rules are creating uncertainty for solar, EV charging and community energy programs; they urged state measures to bridge gaps, accelerate permitting and protect consumers.

Maryland officials and outside experts told a joint briefing of the Environment and Transportation Committee that recent federal policy changes are complicating state efforts to expand clean energy, undermine affordability and create urgent implementation timelines.

Secretary Tricia McElwain of the Maryland Department of the Environment said federal rollbacks have removed language and resources related to climate change and environmental justice from federal agencies and websites, and are “creating confusion with our consumers.” She warned the changes could raise household energy costs and slow private investment, citing modeling that shows households could pay more for energy and vehicle fuel in the coming decade.

Ian Ullman, acting director of the Maryland Energy Administration, described a wave of tax-credit deadlines created by changes to the investment tax credit (ITC) and production tax credit (PTC). He said smaller projects under 1.5 megawatts can still qualify through a 5% safe-harbor spend but that larger projects face compressed permitting and interconnection timelines. “MEA is not gonna be able to completely backfill the loss of those tax credits,” Ullman said, adding the agency is promoting SolarAPP+ to speed local permitting and offering formula grants to local governments.

Nate Holtman of the University of Maryland Center for Global Sustainability presented national modeling showing that federal rollbacks reduce projected emissions reductions and have measurable public-health and economic impacts. Holtman said subnational action — including accelerated state programs — can partially offset national rollbacks and improve 2035 outcomes.

Stakeholders from environmental groups, industry and utilities urged the General Assembly to mitigate the immediate impacts. Recommendations included state rebate bridges to replace lost federal incentives, prioritizing storage and efficiency to address reliability needs, expanding worker training and attaching labor standards to projects. Josh Tolkin of the Maryland Sierra Club urged using available state funds to "backstop federal losses." Ruth Ann Norton of the Green and Healthy Homes Initiative highlighted how federal cuts have delayed home electrification and health-related housing upgrades.

Lawmakers pressed agencies on specifics including whether federal fossil-fuel funding would reach Maryland coal plants and how the state will track and manage a surge of rooftop-solar and storage applications. Officials said they would follow up with details and noted the strain on permitting and interconnection staff as applicants rush to meet federal deadlines.

The briefing closed with a call for legislative and administrative steps to stabilize markets, protect consumers from complex lease and power‑purchase contracts and preserve progress on Maryland’s clean-energy goals.