On July 15, 2025, the U.S. Department of the Interior (DOI)
issued a memorandum establishing significantly heightened review
procedures for federal decisions, actions, consultations, and other
undertakings related to wind and solar energy projects. The
memorandum, titled Departmental Review Procedures for
Decisions, Actions, Consultations, and Other Undertakings Related
to Wind and Solar Energy Facilities, reflects the shifting
winds in federal policy under Executive Order 14315, “Ending
Market Distorting Subsidies for Unreliable, Foreign-Controlled
Energy Sources” (the “DOI Wind and Solar
Memo”).

The policy, effective immediately and with no expiration date,
requires nearly all federal actions related to wind and solar
energy facilities to undergo centralized, multi-tiered review
culminating in approval by the Secretary of the Interior. Federal
bureaus within DOI’s purview include the U.S. Fish and Wildlife
Service (FWS), the Bureau of Indian Affairs (BIA), the National
Park Service, and the Bureau of Land Management (BLM), among
others.

This client alert summarizes the key provisions of the DOI Wind
and Solar Memo, its potential impact on permitting and development
timelines, and how it may affect state-level proceedings.

What Projects and Actions Are Covered?

The DOI Wind and Solar Memo applies broadly to:


Projects sited on federal lands managed by DOI agencies.

Projects on private or state lands that require any
authorization, consultation with, or approval by, or a permit from,
a DOI agency (e.g., U.S. FWS incidental take permits under the
Endangered Species Act).

There are 68 specified categories of action relating to wind and
solar projects that trigger the multi-tiered internal review
process, including:


NEPA documents (EAs, EISs, FONSIs, RODs);

Right-of-way grants, leases, and temporary use permits;

Biological assessments, biological opinions, and species
consultations;

Permits under the Endangered Species Act, Migratory Bird Treaty
Act, and the Bald and Golden Eagle Protection Act;

Section 106 compliance under the National Historic Preservation
Act;

Cultural and tribal resource consultations;

Notices and authorizations published in the Federal
Register;

Funding grants and discretionary awards;

Any other federal agency action or decision facilitating wind
or solar development.

A catch-all provision further extends the policy to “any
other undertaking that in whole or in part facilitates the
development, construction, or operation of wind or solar energy
facilities.”

New Review Process

Under the DOI Wind and Solar Memo, all covered actions must be
submitted for centralized review by the DOI Office of Executive
Secretariat and Regulatory Affairs, with subsequent review by the
Deputy Secretary of the Interior, and with final approval by the
Secretary of the Interior.

Routine decisions that were once handled regionally or by field
offices must now undergo top-level scrutiny, regardless of
complexity or urgency.

Implications for Developers

1. Project Delays: The new process is already
causing significant delays, with some U.S. FWS field offices
reportedly pausing processing of wind and solar-related
consultations pending further guidance. Agency tools aimed at
speeding up the consultation process also have been scaled back:
For example, the U.S. FWS’s Information for Planning and
Consultation (IPaC) tool is routinely used by wind and solar
developers as a screening tool for the potential presence of listed
species and critical habitat. However, as of this writing, the IPaC
website states that solar and wind products are not eligible to use
this tool, citing the DOI Wind and Solar Memo.

2. Uncertainty for Privately Sited Projects:
Projects located on private land are not insulated from the new
requirements if they involve any federal permits or consultations
under DOI authority. This includes siting of transmission lines and
access roads that may need to cross federal lands, as well as
species impacts.

3. Tax Credit Risks: The timing of the release
of the DOI Wind and Solar Memo coincides with the July 4, 2025
signing of the One Big Beautiful Bill Act, which phases
out clean energy tax credits for wind and solar projects after
December 31, 2027, unless construction begins beforehand. The
additional reviews required by the DOI Wind and Solar Memo may
jeopardize lengthen project timelines and hinder efforts to meet
those deadlines.

4.Impacts to Project
Financing. The added uncertainty and potential delays
introduced by the DOI Wind and Solar Memo may pose risks to project
financing. Lenders and tax equity investors typically require
reasonably clear permitting timelines and demonstrated eligibility
for critical tax incentives as conditions precedent to closing. The
memorandum’s requirement for Secretary-level review of even
routine federal actions may disrupt those timelines, increasing the
risk of missed commercial operation milestones, delayed
disbursements, or failure to qualify under “begin
construction” rules for the Investment Tax Credit (ITC) and
Production Tax Credit (PTC). Projects in late-stage development or
approaching financing deadlines may need to reassess their
permitting risk allocation, revise project schedules, or negotiate
extensions with financial partners.

5. Risk to State-Level Proceedings: While the
DOI Wind and Solar Memo governs federal agency actions, its impact
may ripple into state-level permitting processes. For example:


States that condition approvals on receipt of federal
consultations (e.g., ESA Section 7, eagle permits) may see delayed
timelines.

State public utility commissions (PUCs) may need to reevaluate
project schedules if federally related milestones are
uncertain.

In jurisdictions with coordinated permitting regimes, delays in
a single federal component may stall broader approvals.

Recommendations


Conduct an immediate audit of pending and
planned actions to determine whether any aspect of a project may
require approvals that fall within the scope of the
Memorandum.

Avoid a federal nexus where feasible (e.g., by
siting projects to avoid impacts to federal lands or listed
species).

Coordinate early with counsel and consultants
to identify mitigation strategies and document efforts to meet tax
credit deadlines.

Engage with DOI and congressional
representatives to advocate for practical implementation
policies and timely guidance.

The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.