How to phase out Biden-era green energy tax credits is emerging as a key flashpoint among Senate Republicans as they seek to advance their version of the “big, beautiful bill.”

The Senate is taking an approach to the credits for climate friendly energy that is less aggressive than the House but still represents a major rollback of the incentives.

Members who have opposed a full repeal of the credits have signaled that the upper chamber’s approach still goes too far. But Sen. Josh Hawley (R-Mo.) has emerged as a leading voice calling for the subsidies to be phased out more quickly.

Hawley told reporters this week that solar tax credits cost “a gob of money.”

“Funding the Green New Deal is like the least conservative thing I could think of to do,” he said.

The dynamic sets up a difficult task for leadership, as President Trump has said he hopes to sign the legislation by July 4. The discord also comes amid similar policy differences on Medicaid and federal tax deductions in areas with high state and local taxes.

While Hawley, who opposes Medicaid cuts pressed by the right, says the green subsidies should be reduced,........

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