Join each day information updates from CleanTechnica on e-mail. Or comply with us on Google Information!
U.S. photo voltaic trade added 9.4 GW of latest set up capability in Q2 2024, however challenges persist that hinder the market’s full potential.
ANAHEIM, California and WASHINGTON, D.C. — Photo voltaic module manufacturing capability in the USA now exceeds 31 gigawatts (GW) — a virtually four-fold improve because the Inflation Discount Act (IRA) grew to become legislation in 2022.
In line with the U.S. Photo voltaic Market Perception Q3 2024 report launched at present by the Photo voltaic Power Industries Affiliation (SEIA) and Wooden Mackenzie, federal clear power insurance policies proceed to drive manufacturing and deployment progress because the photo voltaic trade put in 9.4 GW of latest electrical technology capability in Q2 2024.
In two years below the IRA, the photo voltaic trade has added 75 GW of latest capability to the grid, representing over 36% of all photo voltaic capability in-built U.S. historical past. Practically 1.5 million American properties have put in photo voltaic because the IRA handed.
“The solar and storage industry is turning federal clean energy policies into action by rapidly creating jobs and powering economic growth in all 50 states, particularly in battleground states like Arizona, Nevada and Georgia,” stated SEIA president and CEO Abigail Ross Hopper. “We are now manufacturing historic amounts of solar energy in America, and soon, we will have enough domestic module production to supply nearly all U.S. demand for years to come.”
Texas continues its run as a dominant photo voltaic market, main the nation with 5.5 GW of photo voltaic capability put in within the first half of 2024. States with carefully watched elections this November, together with Texas, Florida, Nevada, Ohio and Arizona, are among the many high 10 photo voltaic states in 2024.
“The solar industry had a great second quarter, mostly due to growth in the utility-scale segment,” stated Michelle Davis, head of world photo voltaic at Wooden Mackenzie and lead creator of the report. “But future solar growth is being hindered by broader power sector challenges — interconnection backlogs, electrical equipment shortages, and constraints on labor availability. The industry also faces uncertainty related to newly proposed tariffs and the presidential election. There is currently a lot to navigate in the solar industry.”
The residential photo voltaic market continued to contract in Q2 2024, pushed by coverage modifications in California and excessive rates of interest nationally. The sector added 1.1 GW of latest capability in Q2, its lowest quarter in practically three years. Nonetheless, the residential photo voltaic market is predicted to see progress once more in 2025 and is projected to set annual data from 2026-2029.
Annual photo voltaic installations will develop at 4% on common over the subsequent a number of years because the trade contends with beforehand talked about challenges. By 2029, complete U.S. photo voltaic capability is predicted to double to 440 GW.
Photo voltaic Market Perception Report Introduction
- In Q2 2024, the US photo voltaic market put in 9.4 GWdc of capability, a report second quarter for the trade. Whereas installations declined 21% quarter-over-quarter, they elevated 29% from a 12 months earlier.
- Photo voltaic accounted for 67% of all new electricity-generating capability added to the US grid within the first half of 2024.
- Home module manufacturing capability elevated by over 10 GW to 31.3 GW in Q2 2024 as extra services continued to come back on-line.
- Texas was the main state for photo voltaic installations within the first half of the 12 months, with 5.5 GWdc on-line — practically twice as a lot capability as Florida, the second-ranked state, which had 2.9 GWdc.
- The residential section continued to say no, with 1.1 GWdc put in in Q2, a lower of 10% quarter-over-quarter and 37% year-over-year. California continued to drive this decline, shrinking 36% from the primary quarter through the state’s transition to web billing. We count on residential photo voltaic installations to hit a ground this 12 months, driving a 19% contraction in residential photo voltaic nationwide.
- The industrial photo voltaic section put in 427 MWdc in Q2 2024, 5% lower than Q1 2024 and 6% greater than Q2 2023.
- The group photo voltaic section put in 270 MWdc in Q2 2024, a decline of 12% each quarter-over-quarter and year-over-year. A handful of states noticed quarter-over-quarter progress, however this was outweighed by declines in key markets like Maine, Massachusetts, and Illinois.
- The utility-scale section put in 7.6 GWdc, a strong 59% improve year-over-year. Whereas this displays a 23% decline from Q1 2024, first quarter volumes had been excessive as a consequence of tasks lastly coming on-line after numerous delays all through 2023.
- On this report, we have now integrated our estimated impacts of potential new antidumping and countervailing duties (AD/CVD) on imports of crystalline silicon cells and modules from 4 Southeast Asian international locations. Preliminary determinations for these tariffs are anticipated this fall. Whereas there may be nonetheless appreciable uncertainty round ultimate particulars, we count on that tariff impacts on photo voltaic deployment can be modest. There may be ample cell and module manufacturing capability from a number of sources that isn’t topic to the proposed tariffs: manufacturing situated outdoors of the goal international locations, increasing home manufacturing, and sources of skinny movie modules.
- Our newest five-year outlooks present the US photo voltaic trade will persistently set up no less than 40 GWdc per 12 months from 2025 onward. This 12 months, installations are anticipated to say no 4%, pushed by a 2% decline within the utility-scale section and a 19% decline within the residential section. From 2025-2029, annual progress will common 4% for your complete trade. Utility-scale photo voltaic — the biggest section — continues to be restricted by a scarcity of labor availability, excessive voltage gear constraints, and interconnection delays.
Photo voltaic Cheat Sheet
Present Photo voltaic Capability:
209.8 GW
Complete Photo voltaic Jobs:
263,883
Worth of Photo voltaic Market in 2023:
$60.1 billion
Variety of U.S. Photo voltaic Companies:
10,000+
Complete Photo voltaic Methods Put in within the U.S.:
5,137,576
10-year Photo voltaic PV Worth Decline:
43%
Carbon Emissions Diminished:
224 million metric tons
In 2023, a New Challenge is Put in Each
39 seconds
Sufficient Photo voltaic Put in within the U.S. to Energy
35.8 million properties
For extra: Photo voltaic Knowledge Cheat Sheet.
Courtesy of SEIA.
