The air in America’s cities is not what it used to be. It is a little cleaner, a little easier to breathe, but it is still far from where it should be.
On March 21, 2025, National Renewable Energy Day was recognized across the country, bringing with it a fresh round of promises, policies, and pledges. It was meant to be a celebration of progress, but for many, it served as a stark reminder of how far the US still has to go.
A Divided Energy Future
In theory, this was the moment to highlight the advancements in wind, solar, and battery storage, and to reinforce the urgency of transitioning away from fossil fuels. In practice, it became a battleground for competing energy visions.
The tension between the fossil fuel industry and the renewable energy sector had already been on full display earlier in the month at the CERAWeek Conference in Houston (March 10-15), where fossil fuel executives and policymakers gathered to discuss the future of energy.
This year’s conference carried an air of defiance, with industry leaders doubling down on their commitment to oil and gas, despite the rising momentum behind clean energy.
Climate activists protested outside, demanding a commitment to a greener future, but inside, executives were celebrating a world that still ran on fossil fuels.
That tension carried into National Renewable Energy Day, where speeches from government officials praised the rapid expansion of renewable energy projects, yet were met with skepticism from environmentalists who pointed out that fossil fuel subsidies still heavily outweigh investments in clean energy.
While the U.S. saw a record-breaking 40% increase in solar energy production in 2024, fossil fuel production remained steady, thanks in part to government policies favoring an “all of the above” energy strategy.
Wall Street has taken notice, with energy investors split between backing the booming renewables sector or sticking with oil and gas, which continues to generate strong returns amid global energy uncertainty. A recent investment outlook from KPMG highlighted that institutional investors are increasingly hedging their bets, with many maintaining exposure to fossil fuels due to their profitability while gradually increasing their stakes in renewables.
Oil and gas companies like ExxonMobil and Chevron posted record profits in 2024, attracting continued investor interest, while renewable energy firms saw increased funding due to policy incentives and technological advancements.
Energy Events Shaping Market Sentiment
The week surrounding National Renewable Energy Day was filled with other events that painted a broader picture of America’s energy crossroads.
Earth Hour, held on March 22, saw cities around the world participate in a symbolic one-hour blackout to raise awareness about climate change.
While major U.S. landmarks went dark, critics noted that symbolic gestures mean little without structural change.
The Energy Storage Summit in Dallas (March 26-27), currently underway, is showcasing the latest breakthroughs in battery storage technology—one of the key components needed to make renewable energy more reliable. The summit has drawn major investors and policymakers, eager to see how quickly storage capacity can scale to meet national demand.
The performance of companies leading in energy storage, such as Tesla and NextEra Energy, has been closely watched, with analysts predicting that improved storage solutions could be the key to unlocking even greater investment in renewables.
Despite the mixed signals from Washington and Wall Street, there is undeniable momentum behind renewable energy.
A growing number of states are passing laws to phase out coal-fired power plants, and companies like Tesla and NextEra Energy are leading the charge in making solar and wind more accessible to businesses and homeowners alike. Hospitals, desperate for more reliable backup power, have increasingly turned to solar microgrids after witnessing the failures of fossil-fuel-based backup systems during crises like the Texas winter storm of 2021.
Yet, investors remain cautious. While renewable energy stocks have seen strong growth, short-term market fluctuations continue as the federal government sends conflicting signals on the future of subsidies and energy policy.
The uncertainty has led many institutional investors to maintain exposure to fossil fuels while gradually increasing their stakes in renewables, hedging their bets against both the political and economic unknowns of the energy transition.
The High-Stakes Investment in Clean Energy
Despite the overwhelming benefits, National Renewable Energy Day underscored the shifting dynamics of the energy market, where renewables are gaining ground but fossil fuels still hold substantial economic influence.
As the Energy Storage Summit continues today, industry leaders are discussing the real infrastructure needed to back up these commitments.
The financial sector is watching closely, with institutional investors weighing the long-term viability of clean energy firms against the still-profitable oil and gas industry. The past year has shown that while solar and wind are becoming more dominant, fossil fuel giants like ExxonMobil and Chevron are still posting record profits, keeping energy sector ETFs balanced between old and new energy.
Investors who are weighing the transition must recognize that market trends are aligning with long-term clean energy adoption. While oil and gas remain profitable, the growing policy incentives, consumer demand, and corporate investments in renewables indicate a broader shift that cannot be ignored.
As Wall Street recalibrates its approach, those who embrace the renewable transition early stand to benefit from the inevitable market shift, while those who resist risk falling behind in an energy landscape that is becoming increasingly driven by sustainability and innovation.
