Inflation Reduction Act For Solar: Report Card

SEIA Counts 155 GW New Production Capacity Worth $20 Billion Announced In US Over Last Year

Inflation Reduction Act For Solar: Report Card

US solar industry is to see vertical integration of PV manufacturing thanks to the IRA prompting 155 GW worth of new announcements. (Photo Credit: SEIA)

  • Within a year of IRA passing, the US has secured commitments for 155 GW new solar manufacturing capacity
  • 65 GWh of new energy storage production capacity has been announced across 14 new or expanded facilities
  • It will take the country’s total installed solar energy capacity to 669 GW by 2033, growing 160 GW more than under a non-IRA scenario

Since the passing of the Inflation Reduction Act (IRA) in August 2022, the US has witnessed announcements worth 155 GW of new solar PV and 65 GWh of standalone energy storage manufacturing capacity, representing $20 billion in investments, says the Solar Energy Industries Association (SEIA).

This 155 GW is to come up as expansions of current fabs or as new facilities, and includes:

  • 85 GW solar modules
  • 43 GW solar cells
  • 20 GW silicon ingots and wafers, and
  • 7 GW inverter capacity.

Additionally, 65 GWh of energy storage manufacturing capacity has also been announced across 14 new or expanded facilities. SEIA believes, “Since the IRA was passed, over 3 GW of new large-scale energy storage projects have been deployed, and an estimated 100,000 customers have installed a residential solar system paired with battery storage.”

Compared to a non-IRA scenario, by 2033 the IRA will lead to:

  • an additional $144 billion more in new investment over the next decade taking the total to $565 billion in private sector investment;
  • an additional 160 GW of solar installed with the total reaching 669 GW, and
  • 137,000 more jobs comprising more than 100,000 jobs in solar manufacturing alone. Total will reach close to 500,000.

“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 SEIA president and CEO Abigail Ross Hopper.We are unleashing abundant clean energy that is creating jobs and capable of delivering affordable, reliable power to every home and business in this country.”

The US government cleared IRA in August 2022 promising financial incentives for clean technology manufacturing within the country (see Inflation Reduction Act 2022 Now A Law).

About The Author

Anu Bhambhani

SENIOR NEWS EDITOR Anu is our solar news whirlwind. At TaiyangNews, she covers everything that is of importance in the world of solar power. In the past 9 years that she has been associated with TaiyangNews, she has covered over thousands of stories, and analysis pieces on markets, technology, financials, and more on a daily basis. She also hosts TaiyangNews Conferences and Webinars. Prior to joining TaiyangNews, Anu reported on sustainability, management, and education for leading print dailies in India. [email protected]

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