More than 100 gigawatts (GW) of solar power capacity has now been installed in the US, marking a doubling in size of the market over the past three and a half years.
A record-setting first quarter of 2021, in which 5GW of new capacity was added, helped surpass the milestone and analysts believe the country can now push ahead to deliver a further 160GW by the end of 2026.
But disrupted global supply chains could have an impact on future growth, with many of the materials used to manufacture and install solar technologies facing price rises as a result of ‘pandemic-related macroeconomic realities’.
Under President Biden, the US is implementing a major low-carbon transformation of its energy system, targeting a fully decarbonised power grid by 2035 and a minimum 50% reduction in its greenhouse gas emissions by 2030.
Proposals made under the president’s sweeping infrastructure plan, which is currently making its way through Congress, to extend tax incentives for solar development beyond their current life-cycle could have ‘significant implications’ for the industry.
During the first quarter of this year, solar accounted for 58% of all new electric capacity installations in the US, with renewable sources dominating other new additions during the period.
That was a 46% year-on-year increase and was driven largely by the utility sector, which installed 3.6GW of new solar capacity. Around 9.5 megawatts (MW) of residential solar was added during the period – an 11% rise compared to the previous year.
Texas was the most active state in the market, with 1.52GW added during the quarter, while Indiana, Virginia, Michigan and Iowa all made significant additions. The US ranks second among countries with the most installed solar capacity, trailing China.