Renewable energy developers across global financial centres saw their market value climb after the Democrats' sweeping US midterm election victory, which also removed Republican control of the Senate and House of Representatives.
For Ørsted, the world's largest offshore wind developer, the shift in power could bring relief from White House opposition to its multibillion-dollar offshore wind investments off the north-east US coast. Ørsted's market value jumped almost 10% within hours of the Democratic victory before closing nearly 5% higher.
European renewables shares rally
Other European renewables companies active in the US also rose. Portugal's EDP Renewables and France's Engie gained more than 3%, while Germany's RWE added about 1%.
The rally offers a modest boost for Ørsted, which has lost more than 70% of its market value since Trump returned to the White House in 2025, as the industry also struggled with rising interest rates and supply chain pressures.
The White House has issued multiple stop-orders against Ørsted's Revolution Wind project since Trump's re-election. Trump, a vocal supporter of the fossil fuel industry, has repeatedly opposed windfarms as “ugly, costly and inefficient”.
US renewables sector impact
The impact has chilled the US renewables sector, which hosts projects with a combined capacity of 388 gigawatts, enough to power more than 83 million American homes. The sector directly employs more than 400,000 people.
Wind, solar, hydro and geothermal projects have made up about 30% of US electricity generation this year, below the EU's 50% and China's 40%. While there is no binding US-wide clean energy target, 24 states plus the District of Columbia have plans for 100% clean electricity or net zero emissions between 2035 and 2050.
There has been concern over whether electricity-hungry AI datacentres could increase US reliance on gas power plants and raise energy costs.
Political and market outlook
Brenda Shaffer, a senior fellow at the Atlantic Council's Global Energy Center, said rising concerns over energy costs and the impact of datacentres on supplies played a key role in the Republican defeat, calling it “unquestioningly an energy election”.
Market analysts said Democratic control of the House and a Senate majority could reduce political interference and boost confidence. Claudio Galimberti, chief economist at Rystad Energy, said the Democratic House could block further repeals of solar and wind tax credits, with battery storage credits also gaining a stronger defender in budget negotiations, and the administration's roughly $4bn in offshore wind lease buybacks facing greater scrutiny.
Tancrede Fulop, a senior equity analyst at Morningstar in the Netherlands, said it was too early to call a turning point for US offshore wind, but the outcome might lower regulatory disruption risk. “For companies that have spent the past few years dealing with regulatory delays and shifting political priorities, a more supportive backdrop should provide some much-needed confidence around projects already under development,” he said.
Analysts at Barclays said this could ease investor jitters and support confidence in future project returns, making new US renewable projects cheaper to finance. Shaffer noted a brighter future for developers of onshore projects, including batteries, which are typically decided at state level, as several Republican states turned blue, including Texas, Maine, Kansas, Ohio, Iowa and North and South Carolina.
Jason Grumet, chief executive of the American Clean Power Association, said the “blue wave” made clear that “affordable, reliable power is a priority. And our industry is ready to deliver it.”
