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Welcome back to Current Climate. After a sluggish start to the year, U.S. investment in clean energy and transportation jumped in 2026’s second quarter to $75 billion, up 4% from a year ago and the second-highest level ever, according to data compiled by Clean Investment Monitor.

The improvement was largely driven by higher consumer purchases of battery electric and plug-in hybrid vehicles, as well as batteries for home energy storage and electric heat pumps. In total, sales of those products rose 21% from a year ago to $41 billion, the report found. Notably, residential battery storage installations topped residential solar panel sales for the second quarter in a row. Heat pump purchases totaled $7 billion, up 4% from 2025’s second quarter.

Though demand for clean energy has been driven heavily by data centers’ insatiable need for power, the uptick in consumer spending in the segment is encouraging and could tick higher. In the case of electric vehicle sales, California this month kicked off its new rebate program, in conjunction with 13 automakers, that offers first-time EV buyers up to $3,500 off the price of new models. That’s likely to benefit the overall U.S. market since the Golden State buys more battery-electric autos than any other state. And if other states begin offering similar programs, look for the EV market to rebound after crashing last fall when the Trump administration killed a $7,500 federal rebate.

On the energy side, utility-scale solar and battery installations continue to be the top source of renewable electricity investment, totaling $19 billion in the second quarter. That was up 8% from Q1 but 5% below the year-ago period.

Iron Vs Carbon: Funds Surge For Makers Of Batteries That Store Power For Days

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