While policy uncertainty has slowed M&A activity in the renewable energy sector so far this year, Norton Rose Fulbright Partner Becky Diffen believes the rest of 2025 and beyond will see more deals.

Speaking on Infralogic’s Crossroads podcast, Diffen, who heads the projects M&A team for the law firm, acknowledged that ongoing tariff threats and questions over foreign entity of concern (FEOC) rules still presented challenges for investors. However, she said, the final passage of the One Big Beautiful Bill Act and subsequent start-of-construction guidance would allow deals to begin moving forward.

“It’s hard to do M&A if the parties don’t know how to value projects,” Diffen said. “They were worried about projects that might be a year or two away from starting construction. Were they or were they not going to be able to qualify for the tax credits? Now, we have more answers around that.”

Diffen, who is based in Austin, also discussed attempts by Texas lawmakers to pass anti-renewables legislation earlier this year. Diffen said that similar attempts might resurface in future legislative sessions but noted that lawmakers may hesitate to shun any kind of generation given rising power demand.

To listen to the podcast, click here.