Dec. 5, 2025 — United States — A coalition of 143 solar energy companies has formally petitioned the U.S. Congress to collaborate with the Department of the Interior (DOI) to revise permitting policies that currently favor certain energy sources. This move responds to a July DOI memorandum that has effectively imposed a near moratorium on solar project approvals on federal lands, raising concerns about permitting certainty and equitable treatment across energy technologies.
Background on DOI’s July Memo and Its Impact
In July 2025, the DOI issued a memorandum outlining a revised approach to energy project permitting on federal lands. The memo prioritized certain “preferred” energy sources, which industry stakeholders interpret as disadvantaging solar development. This policy shift has led to significant delays and uncertainty for utility-scale solar projects seeking federal land access, a critical component for large-scale renewable deployment in many regions.
The solar industry’s letter to Congress highlights the unintended consequences of this approach, emphasizing that the near moratorium on solar permits undermines national clean energy goals and investment confidence. The companies argue that permitting reform must ensure a level playing field for all energy sources, including solar, wind, and storage, to foster a diversified and resilient energy portfolio.
Permitting Challenges for Utility-Scale Solar and Storage
Utility-scale solar projects often require access to large tracts of federal land, especially in the western U.S., where solar resource quality is high. The DOI’s current stance complicates project siting and approval timelines, which are already strained by increasing demand and grid interconnection bottlenecks. Storage projects, frequently co-located with solar, face similar permitting hurdles, further complicating integrated renewable-plus-storage development.
These permitting delays ripple through project financing and construction schedules, increasing costs and risk premiums. For developers and investors, regulatory certainty is paramount to maintaining project pipelines and meeting aggressive decarbonization targets. The solar industry’s unified call for reform reflects a broader need to streamline federal permitting processes while balancing environmental and community considerations.
Local Policy Dynamics: The Michigan BESS Moratorium
While federal permitting remains a critical bottleneck, local jurisdictions also influence storage deployment. The Township Board of Oshtemo, Michigan, recently enacted a one-year moratorium on new battery energy storage system (BESS) approvals. This local action follows developer interest in greenfield projects and reflects growing community scrutiny over storage siting, safety, and land use impacts.
Though geographically specific, this moratorium illustrates a parallel challenge for storage developers: navigating a patchwork of local regulations alongside federal and state policies. Such moratoria can slow storage deployment timelines and add complexity to project planning, underscoring the importance of coordinated policy frameworks at all levels.
Importance of Equitable and Predictable Permitting Reform
The solar industry’s letter stresses that permitting reform should not only remove barriers but also guarantee equal treatment for all energy technologies. This principle is critical to fostering competition and innovation in the energy transition. Without clear, consistent policies, developers face increased uncertainty, which can deter investment and delay critical infrastructure needed to support grid reliability and decarbonization.
Equitable permitting processes also support broader policy goals, such as expanding clean energy access, creating jobs, and meeting climate commitments. By urging Congress to engage with the DOI, the solar industry seeks to align federal land management policies with these objectives, ensuring that solar and storage projects can proceed without undue delay or bias.
What it means for U.S. utility-scale renewables and storage
The call from 143 solar companies for congressional action signals a pivotal moment for federal energy permitting policy. If Congress and the DOI respond by revising the July memo to ensure equal treatment and clearer timelines, it could unlock substantial solar and storage project pipelines on federal lands. This would help alleviate one of the key bottlenecks constraining utility-scale renewable growth.
Conversely, continued permitting uncertainty risks slowing the pace of solar and storage deployment, complicating grid integration efforts and potentially increasing reliance on fossil fuels. Local actions like the Oshtemo BESS moratorium further highlight the need for comprehensive, multi-jurisdictional coordination to support storage expansion alongside solar.
Ultimately, a balanced and predictable permitting framework is essential for developers, investors, and utilities to plan and build the infrastructure required for a decarbonized, reliable grid. The industry’s unified voice underscores the urgency of reforms that enable solar and storage projects to move forward efficiently while maintaining environmental and community safeguards.
Sources
CleanTechnica — 143 Solar Companies Urge Congress to Work with DOI to Unleash American Solar Energy; Ensure Certainty, Equal Treatment of All Energy Sources in Permitting Reform (press release), Dec. 5, 2025. (CleanTechnica)
Energy Storage News — Michigan Township enacts one-year BESS moratorium after greenfield developer sizes up area for utility-scale project (local policy impact), Nov. 28, 2025. (Energy Storage News)
