Renewable Energy Pullback

Seeking faster returns amid falling profits, major oil and gas companies are shifting capital away from clean energy and doubling down on fossil fuels. BP is selling its RNG business, Archaea Energy, while boosting oil and gas investment by $10 billion annually, and Equinor has abandoned its 2030 renewables target. Across the sector, the largest oil and gas majors cut low-carbon energy spending from $38 billion in 2024 to $25.7 billion in 2025.

Federal policy rollbacks have accelerated the trend, including the 2025 repeal of the EPA waste emissions charge and uncertainty around renewable identification numbers (RINs) and California’s low-carbon fuel standard (LCFS). Bray Dohrwardt, an attorney at Avisen Legal, says the majors are seeking the best return on investment while shifting as much risk as possible.

For RNG project developers, the lesson is to maintain agility and readiness to capitalize on changing opportunities, pairing an optimistic outlook with careful risk evaluation. Infrastructure funds, private equity-backed energy platforms, waste companies, and gas utilities are becoming more active buyers, and developer Brad Pleima of EcoEngineers advises diversified risk management through long-term feedstock agreements and multiple offtake pathways. The American Biogas Council reports 70 new U.S. biogas projects added over $2 billion in domestic recycling infrastructure in 2025, bringing the nationwide total to nearly 2,600 facilities.

Learn More:

• Biomethane Plant (Germany)
• Biomass Energy Plant
• Feasibility Studies