The IRA will drive an additional 160GWs of solar over the “next ten years” compared to a no-IRA scenario.
“Darkness cannot drive out darkness: only light can do that. Hate cannot drive out hate: only love can do that.”
– Martin Luther King Jr.
Discover the Latest in the Solar Industry
Solar and storage companies have announced over $100 billion in private sector investments in the U.S. since the passage of the Inflation Reduction Act (IRA) a year ago, according to a new analysis released today by the Solar Energy Industries Association (SEIA).
Since President Joe Biden signed the IRA in August 2022, 51 solar factories have announced plans. Only a few companies have come or expanded in the U.S. Unicorn Solar, who worked with ZnShine/C&D, brought a factory to the U.S. and started manufacturing this month. Unicorn Solar also is working with a group to add another 1GW factory to the Midwest.
These new and expanded factories will invest nearly $20 billion into U.S. communities, amounting to 155 gigawatts (G.W.) of new production capacity across the solar supply chain. These announcements include 85 G.W. of solar panel capacity, 43 G.W. of solar cells, 20 G.W. of silicon ingots and wafers, and 7 G.W. of inverter capacity:
Solar factories announced in the last year will employ more than 20,000 Americans.
By 2026, the U.S. will have over 17 times its current manufacturing capacity across modules, cells, wafers, ingots, and inverters when these announced factories are online – and that’s enough to supply most solar projects expected to be built in the U.S.
And when it comes to post-IRA battery storage growth, 65 GWh of manufacturing capacity has been announced across 14 new or expanded facilities. Over 3 G.W. of new large-scale energy storage projects have been deployed in the last year.
“The unprecedented surge in demand for American-made clean energy is a clear sign that the clean energy incentives enacted last year by Congress are working,” said Abigail Ross Hopper, president and CEO of the SEIA. “This law is a shining example of how good federal policy can help spur innovation and private investment in communities that need it most.”
IRA Forecasts
Over the next ten years, the IRA will lead to 48% more solar deployment than expected under a no-IRA scenario.
By 2033, the U.S. will have installed 669 GW of total solar capacity, more than four times the amount installed today.
By 2031, solar energy will produce more electricity yearly than all U.S. coal-fired power plants in 2022.
The IRA will drive an additional 160 gigawatts (G.W.) of solar over the next ten years compared to a no-IRA scenario.
The IRA will lead to over $565 billion in new investment over the next decade, $144 billion more than under a no-IRA scenario.
The solar industry’s annual CO2 emissions offsets will increase from 169 million metric tons (MMT) today to more than 459 MMT by 2033.
Ten years from now, enough solar energy will be installed to power every home east of the Mississippi.
The IRA & U.S. Jobs
Over the next decade, industry employment will nearly double, from 263,000 today to 478,000 by 2033. Solar manufacturing jobs will swell to over 100,000 by 2033. The IRA will create an additional 137,000 jobs by 2033 compared to a no-IRA scenario.
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