The future of clean energy is now within reach. The U-S has finally come around to realizing that we need a new approach, and it looks like they’re going about getting one by requiring certain companies manufacture their products here in the US instead of abroad where labor costs may be cheaper but also environmentally harmful.
The United States was once the undisputed global leader in clean energy technology, but now China has taken over. There is not a single solar ingot or wafer manufacturing plant inside America today and only limited capacity for many other inputs into this industry like cells that go onto panels – which makes them more susceptible during times of low demand when you need high volumes quickly because they’re sitting on shelves waiting until someone orders something up at any given moment!
The United States must have a robust solar and storage manufacturing base if it wants to achieve energy security, climate goals as well create jobs in the clean energy economy. Most current capacity for producing these products is located abroad which creates vulnerabilities due trade disputes or political conflicts along with environmental concerns but there are those who believe we can meet this demand by making our own domestically produced goods.
Clean Energy Is Just Beginning
The Solar Energy Industries Association (SEIA) has just released a new whitepaper, Catalyzing American Solar Manufacturing. The document details how the United States can put itself on course to meet its long-term deployment goals by effectively implementing key legislation such as SEMA — which was recently signed into law after being passed last year through IRA’s inflation reduction act. This plan will allow for 50 gigawatts of domestic production capacity by 2030!
The U.S. domestic clean energy industry is struggling to compete with imports as companies in countries like China produce at much larger scales and can offer cheaper prices because their labor costs are so low, but now there’s something that could help them out! The SEMA Act provides tax credits for certain domestically produced parts of a system – polysilicon through modules- which should make it easier than ever.
The Solar Energy Manufacturing and Tax Incentive Act (SEMA) is a long-term tax incentive for certain domestically produced solar components, from polysilicon to cells or modules. Domestic manufacturers currently struggle reach price competitiveness with overseas competitors who are often producing at larger scales; in response this law provides credits including SEMA incentives that can be used by private sector investors towards investment of manufacturing facilities within United States which help close the cost gap between domestic products – such as those made here in America!
Clean Energy, (More Specifically the solar and storage industry) is hungry for growth, but the government must provide long-term demand certainty if companies want to invest in manufacturing facilities. The ITC provides this assurance by providing tax credits that can be built up over time – giving them greater value than what they would otherwise have had without such an incentive scheme at work!
Under the president’s leadership, we are taking action to protect our country. The DPA provides $500 million in funding and enables federal procurement; establishing project labor agreements with respect to national security issues such as protecting solar supply chains which was necessary due diligence given recent unfounded cases involving tariffs on PV cells & modules.
The power of this legislation will be felt throughout America, as it provides for the most significant clean energy industrial policy in our country’s history. With manufacturing tax credits and other supports like an extension on ITCs (which are eligible through 2022) or funding towards DPA programs; there has never been a better time than now to make your own company stand out against competition from abroad!
The U.S solar manufacturing industry has the potential to be one of America’s greatest economic gifts, but it will require strategic implementation in order for that dream to become reality; starting with an emphasis on when companies should bring their various components online so as not leave any gaps or vulnerabilities ahead of time (such as module production). In addition this requires thoughtful planning by those at every level–from upstream industries producing ingots and wafers all way down through our suppliers who rely heavily upon imports right now because there just isn’t enough domestic material available yet – until we’ve built up enough demand. The hope for a thriving solar industry in the United States has never seemed so close. With recent passing legislation, there are now more reasons to be optimistic than ever before-especially with regards those areas that have been traditionally weak or lacking altogether when it comes downing domestic manufacturing needs! The IRA will help fill any gaps left by our broken supply chain while also providing Americans jobs and opportunity at higher wages which they deserve after all these years spent competing against cheaper overseas competitors.
To find how you can access Clean Energy with Glyde Solar, contact us today for a free quote!