TrendWatch: How State and Local Regulatory Changes Are Impacting Renewable Energy Deals

Chad Marriott, partner in Stoel Rives' Energy Development Group, examines how state and local regulatory changes are creating significant uncertainty in renewable energy M&A transactions. He explains how incremental regulatory actions—including siting restrictions, zoning changes, and setback requirements—are squeezing project viability at the margins and making renewable development less attractive in certain regions. With federal policy shifts emboldening local governments to enact unfavorable rules, buyers and sellers must carefully evaluate permitting risks, as these uncertainties are causing deals to stall or collapse entirely.