A stable outlook remains in place for North American energy infrastructure in 2017, though the potential demise of the EPA's flagship power plan could create some interesting ripples for the sector in the coming months, according to Fitch Ratings in its outlook report. The Clean Power Plan (CPP) currently awaits a ruling by the U.S. Court of Appeals for the District of Columbia Circuit, though there is a very real possibility the CPP may not even be enacted. "Since President-elect Donald Trump opposes the CPP and the rule has not been implemented yet, the new EPA chairperson he appoints will likely modify the plan significantly or withdraw it outright," said Senior Director Gregory Remec. "While this might gut the CPP in its current form, it would not eliminate the EPA's obligation to regulate greenhouse gases from power plants." That said, demand for renewable energy projects could be hurt as potential corporate tax rate reductions curb the appetite for tax-equity investments. State initiatives to increase renewable energy supply and long-term objectives are more likely to be maintained nonetheless. What's more, both thermal power and renewable energy projects benefit from largely contracted energy sales agreements with very little exposure to market pricing, which curbs potential cash flow issues and upholds Fitch's stable outlook for these projects. Another uncertainty next year rests with new oil & gas projects. Growing worldwide liquefied natural gas (LNG) export capacity and slowing demand are limiting prospects for expansions of LNG projects or construction of new U.S. greenfield facilities. Projects of this kind also remain susceptible to operating challenges that reduce revenues and increase expenses. Even so, rated LNG export terminals under construction in the U.S. are on schedule to be up and running on time, thus supporting Fitch's stable outlook. Fitch's projections follow a stable year for the sector, with affirmations (88%) dominating the rating actions for 2016, and upgrades (7%) slightly outpacing downgrades (5%). The full report, "2017 Outlook: Energy Infrastructure North America" is available at "www.fitchratings.com" or by clicking on the above link.