Frontier Forum: Why clean energy capital boomed in a volatile year [partner content]

The clean energy finance sector demonstrated significant resilience in 2025, with total financing activity exceeding $200 billion despite a backdrop of policy uncertainty, tariffs, and shifting supply chains. While headline-grabbing obstacles created a stormy environment, underlying market fundamentals remained robust, driven by rising energy demand, rapid manufacturing reshoring, and declining interest rates. The tax credit transferability market expanded dramatically, growing to $42 billion as it diversified beyond solar and wind into battery storage, clean fuels, and advanced manufacturing. Standardized documentation and innovative financing structures, such as hybrid tax equity, have increased efficiency and broadened capital access for diverse technologies. This maturation of the clean economy as a capital market reflects a growing, bipartisan commitment to domestic infrastructure, positioning the sector for continued growth as it navigates geopolitical and macroeconomic complexities.