Nevada’s desert may no longer host what could have been the nation’s largest solar project, leaving energy planners and politicians scrambling.
The Esmeralda 7, a network of seven massive solar installations, was expected to generate up to 6.2 gigawatts of electricity—enough to power about two million homes. Its cancellation on Thursday comes as U.S. energy demand surges from artificial intelligence data centers and growing residential needs.
The change appeared without public notice, sparking confusion among state officials and energy analysts. An Interior Department spokesperson later said the update resulted from “routine discussions” between developers and the government. The spokesperson added that the cancellation was unrelated to the ongoing government shutdown and that developers could resubmit individual proposals for each of the seven sites.
However, analysts note that pursuing separate permits could extend the approval timeline by years. Each proposal would require its own environmental review, and the federal government could still reject individual sites. The uncertainty has left Nevada officials and energy developers questioning the administration’s broader approach to renewable projects on federal land.
Although the project received backing from the Biden administration, it had drawn opposition from some conservation groups and local residents. Critics argued the project’s scale would harm fragile desert ecosystems. The region is home to protected species, including desert tortoises and Joshua trees.
“It doesn’t make sense to trade off gains in climate while sacrificing biodiversity,” said Erik Molvar, executive director of the Western Watersheds Project.
“We don’t see the conversion of vast areas of public land to renewable energy as the right solution to the climate crisis.”
Read more: China’s first provincial solar auction sparks concerns over future of alternative energy
Read more: The Next Resource Boom: A Mugglehead roundup
Decision has drawn criticism from both sides
NextEra Energy (NYSE: NEE) is one of the project’s major developers. It said it intends to continue working with federal officials. Company spokesperson Neil Nissan said NextEra “remains committed” to pursuing the project and “will continue to engage constructively” with the BLM.
The decision has drawn rare bipartisan criticism.
Utah’s Republican Governor Spencer Cox expressed frustration on social media, calling the cancellation a setback for U.S. energy independence.
This is how we lose the AI/energy arms race with China. Our country needs an all-of-the-above approach to energy (like Utah). We should be all in on nuclear/natural gas/geothermal and keeping our coal plants open for as long as possible. However, there are… https://t.co/k5dM6UV06p
— Spencer Cox (@SpencerJCox) October 10, 2025
Furthermore, Nevada’s Democratic senators, Catherine Cortez Masto and Jacky Rosen, also condemned the move. Both urged Interior Secretary Doug Burgum to explain the project’s future, indicating that the administration’s lack of transparency surrounding wind and solar projects has caused both chaos and confusion..
The Trump administration has already halted or slowed several large-scale renewable energy projects since taking office.
While most actions targeted wind developments, solar projects have increasingly faced new barriers. Earlier this year, the administration and congressional Republicans ended key tax credits for wind and solar projects, reducing developers’ financial incentives and shortening the window for claiming credits.
An independent analysis by think tank Energy Innovation found that ending those tax credits would likely drive up U.S. household energy bills over the next decade. The report said reduced investment in renewables would increase reliance on natural gas and other fossil fuels, raising prices as demand grows.
Read more: China’s CATL targets Europe with $12.9B push and new EV battery tech
Read more: China reveals lithium battery tech that spots deadly failures before battery activation
President Trump has criticized wind and solar power
Electricity costs have already climbed sharply. Since 2022, retail power prices have increased faster than inflation, according to the U.S. Energy Information Administration (EIA). The agency predicts that prices will continue to rise through next year. The EIA also notes that electricity remains Americans’ second-largest annual energy expense after gasoline.
President Trump has repeatedly criticized wind and solar power, calling them unreliable and harmful to farmers. In August, he posted on Truth Social that “we will not approve wind or farmer destroying Solar,” describing renewable energy as “the scam of the century.”
The Esmeralda 7 project had been seen by many as a potential model for large-scale solar generation on public land. Now, with its cancellation, analysts say the United States could fall further behind in developing clean, domestic energy sources.
.
