The Federal Reserve Just Gave Clean Energy a Gift

For the first time this year, the Federal Reserve cut interest rates this week. As it typically does, the highly anticipated move has helped deliver a boost to stocks this year. Of course, the Fed isn’t thinking about climate policy as it sets rates. Indeed, it has actively avoided talking about it under the current administration. Nonetheless, monetary policy has become a powerful yet underappreciated tool for advancing clean energy.

In ordinary times, a rate cut would be a particular boon to clean energy companies. It seems like almost every year the news gives me an opportunity to write about the connection between rates and clean energy buildout. In general, lower interest rates benefit growth-oriented, long-horizon investments. Renewable energy companies and their projects—largel