Jefferies said U.S. Senate negotiators have reached an interim agreement on a bipartisan permit reform plan, moving a step further than last week. According to Sina Finance, the firm said more details are expected later this week, and if the remaining differences are resolved, the bill could go to a vote during the post-midterm lame-duck session.

Jefferies said the progress is a marginal positive for the clean energy sector, especially for large project developers such as NextEra, as well as renewable equipment manufacturers and engineering and construction companies. It said the biggest obstacle remains the approval rules for wind and solar projects.

Jefferies also kept NextEra among its top picks in clean energy, saying the company would benefit from a smoother project approval environment if the reform is ultimately passed.