Solar Power Expected to Continue Growth in 2017
The year 2016 has certainly been a milestone year of growth for the solar power industry. Driven by a dramatic decline in installation costs and continued incentives, solar photovoltaic (PV) installations across the nation have dramatically increased in the past year.
INVESTMENT TAX CREDIT
In December of 2015, Congress agreed to extend the 30% solar investment tax credit on a graduated scale. The solar investment tax credit remains at 30% until 2019. In 2020 it will drop to 26%, and in 2021 it will drop to 22%. After 2021, the tax credit will drop permanently to 10% for commercial solar projects and 0% for residential. These tax credits have helped make solar power fiscally feasible for entities such as K-12 schools, municipalities, and commercial facilities. In addition to these tax credits, many states have some sort of additional rebate or incentive for solar projects. Even without rebates and incentives, solar power is expected to become the world’s cheapest form of electricity due to an expected rise in electric rates, net metering opportunities and energy storage technology options.
RECORD BREAKING Q3 2016
The Solar Energy Industries Association (SEIA) recently announced that the third quarter in 2016 “shattered” all other previous quarterly solar PV installation records. 4,142 megawatts (MW) of solar PV were installed in the U.S. in the third quarter alone, putting solar PV installations at more than 8,000 MW this year. The SEIA also says to expect more solar PV installation records to be broken both in Q4 of 2016 and in 2017. Take a look at their article below which also includes data on what type of solar PV installations are projected to be the fastest-growing in 2017.