Shares of renewable energy companies are rising after a tax on solar and wind was removed from the Senate version of the One Big Beautiful Bill Act. The Senate narrowly passed the legislation Tuesday and will now be considered by the House of Representatives.

The sprawling Republican budget bill approved by the Senate Tuesday removes a proposed tax on solar and wind energy projects but quickly phases out tax credits for wind, solar and other renewable energy.

Senate Republicans stunned the power industry over the weekend with a proposed new tax on wind and solar projects, part of a broader push to unravel incentives for renewable energy. Energy tax credits that were expanded during the Biden administration are wrapped up in a fierce congressional fight over President Trump’s signature tax and spending bill.