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Growth to Continue in US Solar Sector in 2019

Growth to Continue in US Solar Sector in 2019

Posted on Jan. 2, 2019 by Team iSolarWorld

The renewable energy sector remained remarkably resilient in the United State gaining ground despite uncertainty about the effects of federal tax reform legislation and a spate of new import tariffs by the Trump administration. through the third quarter of 2018, the output from utility-scale wind and solar capacity topped 8 percent of total US electricity generation. In 2017, it was merely seven percent for the same period. Now, when the New Year bell is ringing, let’s take a glimpse of the solar sector in the country and how this industry will shape in 2019.

Emerging policies, expanding investment, advanced technologies

In the coming year, experts see three trends coming into sharper focus and these are likely to shape renewable growth. These trends include emerging policies that will support renewable growth, expanding investor interest in the sector and advance technologies that will boost wind and solar energy’s value to the grid, asset owners and also the customers.

declining costs of wind and solar generation advances in battery storage technology, and grid operators’ growing expertise and expanding toolset for integrating intermittent renewable power into the grid are some core factors that drove growth in the passing year. robust demand from most market segments was the most significant fundamental.as opposed to the demand driven by policy mandates we’ve seen in 2018, utilities demonstrated strong voluntary demand.corporations had purchased nearly five gigawatts (GW) of renewable through a variety of procurement routes and this has driven partly the demand of renewable in the country.

[Read More: Five Things to Know Before Installing Solar]

Tax and Trade Policies to impact renewable growth

In 2019, a favourable outlook for renewable growth can be predicted, just ahead of tax credit phase downs.tariffs could continue to create headwinds. by year-end, developers may hasten to begin solar project construction to qualify for federal tax credits before the investment tax credit for solar falls.

Solar experts across the world believe that the federal trade policy may likely continue to create headwinds; especially the 30 percent import tariff on crystalline-silicon solar cells and modules, and tariffs on imported steel, aluminum, and inverters from China. Annually, the solar tariff is expected to decline by five percent eventually falling to 15 percent in year four and may delay or cancel some projects, particularly utility-scale ones.

To get some more interesting facts about the US solar industry or to advertise with us, mail us at info@iSolarWorld.com