U.S. Secretary of Energy, Chris Wright, recently discussed President Donald Trump’s reciprocal tariff strategy on “Varney & Co.” Meanwhile, the U.S. solar energy industry is experiencing significant growth. According to a report by the Solar Energy Industries Association (SEIA), 50 gigawatts of direct current capacity were installed in 2024, marking a 21% increase from the previous year. The report indicated that 66% of new electricity-generating capacity was sourced from solar energy.
Texas maintained its lead in solar capacity installation for the second consecutive year, followed by California and Florida. SEIA projects ongoing growth in the solar sector, as the impacts of the COVID-19 supply chain disruptions diminish and funding from the Inflation Reduction Act is allocated. The organization stated that solar power remains the preferred technology for electricity generation across the United States. The demand in 2024 illustrated strong interest from utilities and corporate buyers, leading to a doubling of installations compared to 2022. SEIA forecasts a similar level of installations in 2025, with policy uncertainty countering some of the high demand. Additionally, increased electricity demand driven by factors such as data center expansion, manufacturing growth, and broader electrification could rise by 4% to 15% through 2029, depending on the region.
The residential solar sector has shown recovery, with installations growing by 9% in 2024, despite the challenges of installer and financier bankruptcies in 2023. However, SEIA expressed concerns over President Donald Trump’s early executive orders affecting the energy industry. These orders aimed to promote fossil fuels and reduce climate change efforts through measures like an energy emergency declaration, a federal land use freeze, a federal funding freeze, and new tariffs.
Despite these challenges, SEIA remains optimistic about the future of solar energy. SEIA President and CEO, Abigail Ross Hopper, highlighted that solar and storage technologies can be developed more rapidly and at a lower cost compared to others, ensuring that the U.S. is equipped to meet rising electricity demands and maintain competitiveness in the global market. Hopper emphasized the industry’s historic deployment and manufacturing records in 2024, which contributed to job creation and economic growth. She advocated for continued legislative support for a diversified energy strategy that nurtures domestic energy sources, such as solar and storage.
