According to the U.S. Solar Market Insight Report 2015 Year in Review released last month, the U.S. solar energy market is expected to grow to an astounding 119% in 2016. In addition to yielding a record-breaking 7.3 gigawatts (GW) of new photovoltaic (PV) capacity by the end of 2015, Congress also extended the solar investment tax credit (ITC) and is expected to support more than 93 GW of increased PV capacity over the next six years, which is enough to power 20 million homes and provide 3.5% of the nation’s electricity.
Now that purchasing solar panel systems has been more affordable than ever, the ITC extension enables homeowners and business owners a wider window in order to take advantage of being able to control their energy needs, as well as the price of their energy bills. Coincidentally, this means that other avenues of generating power, specifically traditional electricity generators, are expected to see a massive decrease in sales and dependency.
According to a report conducted by ICF International, Inc., grid managers who control power from the eastern part of our nation plan to curtail the amount of energy and capacity which they purchase traditional electricity generators. By 2019, the New York (NYISO), New England (ISO-New England) and the PJM Interconnection electric power markets will cut around 1,400 megawatts (MW) from these types of generators, saving them a staggering $2 billion annually.
Based on this shift in paradigm, solar will lead to way by being the top contributor to new electricity capacity this year. Along with increased dependence of solar energy, hundreds of thousands of job will be created over the next five years. It appears that America is striving to be a more cleaner and environmentally-conscious.