The Contradictory Winds of Green Energy and New York's Billion-Dollar Debate

The green energy boom is facing new challenges as falling prices, cheap capital, and supportive politicians are being replaced by fracturing supply chains and higher interest rates, pushing up prices and testing the resolve of consumers and governments. The cost of wind power has risen due to higher steel prices, and the cost-effectiveness of lithium-ion batteries has plateaued. Rising interest rates have increased the cost of capital, leading investors to reassess energy projects. Geopolitical tensions, particularly with China, are also complicating the green energy supply chain. However, there is optimism that investment in green energy will continue, and companies may adapt to rising costs through refining existing technologies or developing new ones. Rising costs may be passed on to consumers or require increased subsidies, challenging public support for the energy transition.