Category: Blog

What Is Fixed Tilt, Single, or Double Axis Racking?

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Solar panel racking is a mundane yet vital part of any utility-scale solar installation. 

Harnessing solar energy is more than simply pointing panels at the sun. Despite looking like simple infrastructure, ground-mounted racking can vastly improve a solar operation’s overall performance. 

Racking systems allow operators to precisely angle panels to optimize generation and maximize results over the system’s lifespan. Luckily, solar EPCs have access to several types of racking systems to fit any budget, environment, or climate. 

Fixed Tilt Solar Racking 

True to its name, fixed tilt solar racking holds the solar panel at one tilt angle. 

Since the panels do not track the sun’s movement, installers must find the angle that maximizes sunlight absorption. This angle, called the azimuth, helps the panel collect as much sun as possible during peak hours. 

Azimuth angles use true north and the sun’s position to find the perfect direction to face the sun. To calculate the azimuth, developers can use the National Renewable Energy Laboratory’s Solar Position Algorithm to get results within 0.0003 degrees. 

Pros of Fixed Tilt Racking 

So, why do solar EPCs like using fixed-tilt systems for certain projects? It comes down to ease of installation and upkeep, durability, and application. 

Fixed tilt systems don’t have complex tracking systems, making them easy to install almost anywhere, ultimately saving time and labor costs. The system’s straightforward design also makes it useful across residential, community, and utility-scale projects. 

Fixed-tilt systems are more durable than other options. They need little maintenance over their usable lifespan and have a low risk of losing the sun’s position. The racking systems also do well in poor weather conditions, including where snow could be an issue. 

Finally, installers prefer fixed tilt systems when working with brownfields and other challenging landscapes. Brownfields are former industrial or commercial sites that may have environmental contaminants, making them unattractive for regular development. In cases like this, solar panel systems stationed in poured concrete hold up the panels without disturbing the ground too much. 

Concrete pads or blocks work in other challenging locations, too. Rolling hills make it hard for some tracking systems to work, but fixed-tilt systems don’t have similar problems. 

Cons of Fixed Tilt Racking 

Despite being cost-effective, durable, and easy to install, fixed tilt racking falls short in other ways. 

Because the racking system doesn’t move, solar panels don’t follow the sun through the sky. This limits the amount of sunlight the panels absorb, making them less efficient. 

Less efficiency also leads to another problem – less production. To offset the lack of production, developers may need to install more panels to achieve better results. The additional panels require space, leading to higher land costs and expenses. 

Shading can also cause issues for solar panels attached to fixed tilt racking because of their lack of movement. If a tree casts shade on a section of solar panels, their production plummets without a way to change direction. 

Single Axis Systems 

Unlike fixed-tilt mounting systems, single-axis ones follow the sun using tracking components. 

Because the system tracks the sun, panels collect more sunlight, leading to better solar power generation. Though they cost more than fixed-tilt options, their increased output means sites need fewer panels to produce the same power. 

To save money, developers can also install panels in long rows, using one drive system to control all the trackers at once. The cost is a little more burdensome in tight areas with shorter aisles because the installation requires more drives. 

Pros of Single-Axis Racking 

Single axis tracking setups are more expensive but prove their value by increasing long-term electricity generation. 

Moving, even in one lateral direction, makes a dramatic difference for most systems, including those in small spaces. Experts suggest single-axis setups are somewhere between 15-30% more efficient than fixed-tilt ones. This is because panels can keep pace with the sun all day. 

Furthermore, single-axis racking reduces impacts caused by shade. As the sun moves, the panels follow, as opposed to becoming trapped at a bad angle for hours on end. 

Cons of Single-Axis Racking 

When you introduce more complexity to a system, you increase the risk of something going wrong. 

While fixed tilt systems offer an easy-to-maintain, no-frills experience, single-axis systems need more maintenance. They also require space to allow the panels to safely move along their axis. When space is an issue, there may be less room for panels. 

Increasingly complex systems also come with higher price tags, as developers can expect to pay more for a single-axis system, compared to a fixed tilt one. Though the price may cause some cost-conscious developers to shy away, the added generating power helps soften the blow. 

Finally, it’s worth noting that single axis tracking systems don’t always perform well on difficult terrain. Whether it’s hilly areas, brownfields, or other tough conditions, setting up panels in one row is hard. As a result, solar EPCs must find creative ways to safely run these systems. 

Double (Dual) Axis Systems 

What’s better than a solar panel that follows the sun across the sky? How about a solar panel that tracks the sun’s elevation at the same time? 

Not only do double-axis trackers follow the sun east to west, but they can also move north to south, tracking elevation too. PV systems outfitted with dual-axis solar racking systems are up to 40% more efficient than standard fixed tilts. The result is a system capable of generating maximum electricity every day of the year. 

Pros of Double-Axis Racking 

One benefit of being incredibly efficient is that installations can often do more with less. 

When panels follow the sun better, farms need less space and fewer panels to achieve similar results. For developers, it means getting more power out of the same plot of land, reducing project costs. 

More importantly, double-axis tracker systems can negate issues caused by shade or clouds. When shade covers the panels, they can be repositioned, optimizing the situation and generating clean power. 

Cons of Double-Axis Racking 

Better technology often means higher costs. 

For some solar developers, the high upfront cost to install double-axis racking can be a tough pill to swallow. Unlike fixed-tilt trackers, these complex systems often require skilled workers to install, calibrate, and maintain them. 

Maintenance is critical to keeping a double-axis system running smoothly. If the trackers don’t work, they can’t follow the sun, hurting overall production and return on investment. However, with proper maintenance and care, the farm can “pay” developers back over time. 

Finally, it’s possible that even with proper maintenance, tracker components may wear out before the panels. Panels can go decades with only routine maintenance and cleaning, but moving parts tend to show wear and tear much sooner. 

Options for Every Installation 

Every installation is different, so developers and their teams should decide what racking is best for their situation. 

Budget-friendly options are easy to install and perform well across a variety of landscapes but are less efficient. Tracking systems dramatically increase energy generation but are more expensive and need more maintenance. 

No matter what, work alongside qualified companies and partners who understand your project’s needs and goals. Their experience and expertise can help you avoid pitfalls and navigate unexpected problems, making installations smoother and more productive.

From Coal Towns to Sunscapes: Renewables Reach Coal Country 

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Despite years of excitement about renewables, we’re not all that far removed from the days of King Coal. 

As recently as the early 2000s, coal was the driving force for American electricity generation. According to the Energy Information Administration (EIA), coal accounted for 2,016 billion kilowatt-hours (kwH) of electrical generation in 2007.  

Natural gas boomed soon after, eventually becoming the nation’s leading producer. 

Today, coal only accounts for about 675 billion kwH, leapfrogged by natural gas, nuclear energy, and even renewables. But nothing happens overnight; the writing has been on the wall for years.  

It also helps to keep everything in perspective. Yes, coal energy generation has fallen by two-thirds, but it still accounts for 16% of America’s energy portfolio. 

A Black, White, and Gray Issue 

Coal production capacity has fallen precipitously since the mid-2000s, decreasing by one-third from 2012 to 2022. 

Though use and consumption fell, coal is still a critical energy source. Data from the EIA determined that 91% of coal consumed went to electric power. 

As the country adopts more renewable energy, including solar, coal is slowly falling behind. Unfortunately, coal’s decline is also woven into several states’ economies and histories. 

How can emerging technology and energy generation support these states, and is a coal- 

free future possible? 

Coal Meets Its Match 

Since 2007, coal has seen its share of energy generation eaten up by cleaner, cheaper options. 

Natural gas is plentiful and cost-effective, leading energy generation plants to switch from coal. Though still a fossil fuel, natural gas is more efficient than coal. It also produces much less carbon dioxide during energy generation. 

Between 2011 and 2019, more than 120 coal-fired generation plants converted to other fuels. Of those, the vast majority became natural gas-powered. In states where natural gas is plentiful, like Texas, Florida, California, Pennsylvania, and Ohio, the decision felt immediate. By 2021, natural gas was the largest power generator in all five states. 

Meanwhile, states like Iowa, Kansas, and South Dakota also distanced themselves from coal, investing in wind power. By 2021, wind was the largest share of electricity power generated in those states. 

Weaning Off Coal 

Despite clean energy advancements and ambitious net-zero emission goals, some states still depend on coal to survive. 

West Virginia, Missouri, Wyoming, and Kentucky still rely heavily on coal. More than 70% of each state’s power comes from burning it, including more than 90% of West Virginia’s energy. Moreover, Wyoming, West Virginia, and Kentucky are several of the nation’s largest coal producers. 

Despite their reliance on coal, all three states have tried to adopt more renewable energy.  

For example, Wyoming established wind farms to take advantage of its windy conditions. More than 22% of the Cowboy State’s power comes from renewables now. 

West Virginia and Kentucky have been slower, however. Less than 1% of Kentucky’s energy comes from renewables, while West Virginia fares slightly better at 4%. 

Though the numbers don’t seem encouraging, there’s room for improvement. What we’re seeing across all three states are concerted efforts to improve energy diversity and promote new industries and jobs in economically depressed areas. 

Why Renewables? Why Now? 

It’s hard to break generational ties sometimes, but leaving coal in the dust could benefit everyone.  

Renewables like solar and wind are on the upswing as technology improves. And for the people of coal country, adjusting to a solar-powered future could create more opportunities. 

Pro-Environment Movement 

One of the main drivers of renewable energy, including solar, is its ability to generate clean power. 

Burning coal for energy creates several problems for the environment. First, it pumps greenhouse gases into the atmosphere at rates higher than other fuel sources. 

Mining companies also commonly use surface mines to find and extract coal from the Earth. This process can cause coal dust to enter the air and water, impacting health.  

Secondly, coal mining massively changes local landscapes. To reach underground seams, companies cut off mountain tops. The result is a litany of environmental concerns, ranging from human health issues to river damage, habitat destruction, and air pollution. 

Emerging Job Markets 

The U.S. Bureau of Labor Statistics (BLS) reports that coal mining jobs have dropped over 50% since January 2012. 

Coal’s decline coincides with the recent rise in renewable energy jobs across the United States. According to E2, a nonpartisan group, nearly 560,000 Americans work in renewable energy generation, up 14% since 2020. 

Job growth should remain strong throughout the rest of the decade as the U.S. invests in solar, wind, and other renewables. 

Economic Factors 

Not long ago, coal was one of the most cost-effective energy generation methods. 

However, the rise of low-cost natural gas, rapidly decreasing solar costs, and battery storage solutions have impacted coal. Divesting from coal becomes easier once the numerous tax credits and government programs driving renewable adoption get involved. 

The Government is Involved 

Thanks to government support, there is no shortage of programs to make renewable energy attractive. 

While the country moves closer to its net-zero carbon emissions goal, renewables will benefit from massive government investments. 

The Inflation Reduction Act introduced and extended several programs and incentives, including ITCs and PTCs. Solar installers can also access DSIRE to find state and utility incentives. 

Public Perception is Changing 

Although coal still has a role in America’s energy portfolio, many people, organizations, and government officials want cleaner energy. 

The reality is that coal jobs will likely continue dwindling. At the same time, new high-paying skilled jobs in solar and wind are coming in. For former coal towns, people can seamlessly move into a new, growing industry with a strong future. 

Three States, Three Stories 

Luckily, utility-scale solar isn’t strictly for sun-soaked states like California and Texas. 

For states like Wyoming, West Virginia, and Kentucky, the race is on to pivot from coal to solar and wind. Coal is a hallmark of their economies, but money, people, and technology are helping them push toward solar. 

Wyoming 

The leading coal-producing state has started building one of the nation’s largest solar farms. 

Wyoming is heavily involved in wind power, but solar is picking up steam. Currently, Wyoming ranks 46th in the nation for solar generation, per the SEIA, but recent developments will help the state evolve into a renewable energy powerhouse. 

Totaling 771 MW, Cowboy Solar I and II will feature 400 and 371 MW utility-scale solar farms, respectively. The sites will also include battery storage systems of 136 and 133 MW. 

Though the project is in its early stages, completing it would give Wyoming a massive shot of solar energy. 

Kentucky 

Kentucky ranks 43rd in the nation for solar generation but is a top-five coal producer.  

Recent projects could add more than 950 MW of solar to the state’s portfolio. Developers recently broke ground on a 160 MW solar project in western Kentucky that could power up to 120,000 homes. Called Unbridled, the project will be the state’s largest solar installation once it goes live. 

Another planned project on the eastern side of the Bluegrass State will soon be its largest by far. The 800 MW solar farm will begin construction in 2026 and could introduce hundreds of solar jobs to the region. 

The prospective site sits on the former Starfire Mine, and its flat terrain is perfect for solar panels. It also has most of the infrastructure for connecting to the larger grid and moving materials and people. 

West Virginia 

West Virginia has made several moves to add more solar energy by giving new life to former mines. 

A 250 MW solar farm located at an old mine began construction in 2022 and should be operational by the end of this year. Over the next five years, developers will start work on another 150 MW site with plans to complete it over the next decade. 

The excitement for solar in West Virginia has seeped into the private sector, too. Titanium Metals Corporation, an aerospace manufacturer, could eventually run on only solar power. Plans to build the 106 MW solar farm with a 50 MW battery system should kick off in 2025. 

The state is also home to groups like the Appalachian Climate Technology (ACT Now) Coalition, which represents 21 counties in West Virginia. Its mission is to introduce and promote clean energy jobs and projects where coal was once a major driver. Ultimately, the goal is to create new high-paying jobs in emerging industries. 

What Have We Learned? 

Developing a new industry where one didn’t exist is difficult but not impossible. 

Thanks to mining, coal states like Wyoming, West Virginia, and Kentucky have the tools needed to support solar energy. Their infrastructure is largely in place, the landscape easily supports solar, and many workers are available. And, once again, the states aren’t abandoning coal – they’re simply diversifying energy sources. 

The government also hasn’t lost sight of its own renewable energy goals. Federal and state governments have invested heavily in new technology by funding as many projects as possible. This support is critical for states as they switch from fossil fuels to clean energy generation. 

We can’t expect change to occur overnight, especially with an industry as ingrained in our culture as coal. But with investment, time, and continued effort, it’s possible to chart a new path forward.

Has the Solar Industry Improved Under Inflation Reduction Act?

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When President Biden signed the Inflation Reduction Act (IRA) into law on August 16, 2022, it opened the door for a clean energy renaissance. 

Since then, a flurry of activity has occurred, especially in the burgeoning solar industry. Many new manufacturers and solar installations are cropping up across the country, but has the IRA had the intended effect we thought it would? 

What Did the Inflation Reduction Act Do? 

From the get-go, the Inflation Reduction Act laid out several ambitious goals. 

  • Make solar adoption more affordable 
  • Increase domestic manufacturing 
  • Create solar jobs 

In theory, the IRA would deliver the best of both worlds. The IRA instituted billions of dollars in programs, tax incentives, and development projects to bolster renewable energy production. Manufacturers also lined up, investing billions of their own dollars, with government support, to reshore solar development and production. 

But beyond the basics, the IRA has given the industry and government several things to cheer about. 

Solar Costs Drop 

When the IRA took effect, the inflation rate was over 8%, making it harder for businesses to fund projects. Despite the high cost of borrowing, the Inflation Reduction Act enhanced and extended programs to make solar more affordable. 

Among them were a series of tax credits, including Investment Tax Credits (ITCs) and Production Tax Credits (PTCs). Solar EPCs can claim ITCs upfront based on system costs. PTCs, meanwhile, are based on the amount of electricity produced over the project’s first 10 years. 

Every project is different, but deciding which credit makes more sense depends on project size, power output, and eligibility. 

Other credits encourage investments in low-income areas, rural communities, and abandoned sites like brownfields. These projects create jobs in underserved communities, add formerly abandoned sites to the tax rolls, and improve access to low-cost electricity. 

At the same time, utility-scale solar costs have leveled out in recent years, according to the National Renewable Energy Laboratory. Other costs, including labor and permitting, have also been resilient.  

Meanwhile, several tax credits tied to prevailing wages and brownfield development have helped lower costs. 

Domestic Manufacturing Blossoms 

As part of the IRA, the Biden administration pushed for more domestic solar manufacturing. So far, the Inflation Reduction Act has done what it intended to do. 

The IRA introduced Advanced Manufacturing Production Tax Credits for solar energy, which ties incentives to producing renewable components. Also known as 45X MPTC, manufacturers receive the credit per unit produced and sold. Eligible products include solar photovoltaic (PV) modules, inverters, batteries, trackers, and critical minerals. 

Another tax credit helping manufacturers is the Advanced Energy Project Credit (48C ITC). Like the previously mentioned credit, this applies to manufacturers building or upgrading facilities. However, it incentivizes companies to outfit their buildings or facilities with greener installations. These installations must reduce greenhouse gas emissions by 20% through low- or zero-carbon heat systems. 

Although the two credits cover different aspects of solar energy, companies cannot take both. 

Spurring Investment 

Beyond tax credits, the IRA allows more public/private investments to produce renewables. 

According to the White House, companies have announced about $265 billion in clean energy projects since August 2022. Many of those projects are in areas living below the median household average, bringing high-paying jobs and low-cost energy to underserved communities. 

Other information from the Clean Investment Monitor tells a similar story. In the first half of 2024, companies invested $147B into clean energy manufacturing and deployment. The amount has increased dramatically each year since 2022 as companies find ways to incorporate renewables into manufacturing, energy production, and operations. 

From opening new manufacturing facilities to upgrading critical infrastructure, solar and other renewables are thriving under the IRA. 

Bringing Back Jobs 

One of the most attractive features of the IRA was its ability to create manufacturing and skilled labor jobs. 

Since August 2022, the IRA has helped launch 330,000 new clean energy jobs. Manufacturing jobs are also coming home as the U.S. attempts to wean itself from overseas solar panels from Asia. 

Facts and Figures: Assessing the IRA’s Impact 

One way to analyze how well the Inflation Reduction Act has performed so far is to look at the metrics. 

What have we seen over the past 24 months, and is it enough to call the law successful? 

Clean energy investments are taking off. Source: Clean Investment Monitor (Tallying the Two-Year Impact of the IRA (cleaninvestmentmonitor.org))

Renewable Investments are Way Up 

Clean energy investments totaled about $147 billion through June 2024. 

Though the number is impressive, it’s more exciting when compared to investment figures before the IRA. In 2021, clean energy only garnered about $141 billion for the entire year. Seeing the number eclipsed in half the time is wildly impressive. 

All told, clean energy projects have pulled nearly $500 billion in investments. Some of the most welcome growth came from the manufacturing and transportation technology industries, with $89 billion invested. The total was more than four times the amount in the two years leading up to the IRA. 

More Projects Coming Online 

Officials have announced hundreds of projects across at least 40 states, with many tied to solar, wind, electric vehicles (EVs), and battery storage. 

According to RMI Analysis, the government has only disbursed about $66 billion in funds through the first half of 2024. More projects will come online in the next few years, including an estimated 320 GW of clean energy projects. 

More importantly, as new manufacturers and clean energy projects launch, added jobs will become available. RMI expects the solar industry alone will need 500,000 workers by 2033, doubling the number of jobs available today. As a result, we need more educational and certification programs today to develop tomorrow’s workers. 

Better Grid Resilience 

What good is generating a ton of renewable energy if the current electrical grid can’t support it? 

The IRA has provided a lifeline for grid operators to improve the grid. As more green energy comes online, including wind farms and utility-scale solar power, the grid must support it. That means investing in efficient power plants and transmission and distribution lines to move electricity effectively. 

Grid resilience could take several forms. One choice is to add to the grid to help it accommodate more electricity. Expanding the grid is not popular, as substations and massive transmission lines cause problems for communities. 

Another possibility is to improve transmission lines with new conductors. Most conductors crisscrossing the United States are aluminum wrapped around a steel core. The conductor design is over a century old (the patent is from 1908), so minor improvements could go a long way. 

A third option is to add more microgrids. Microgrids are small community grids that can run independently. If a storm takes down the larger grid, a microgrid can disconnect to still provide power to homes and businesses. 

The goal is to equip rural communities with microgrids powered by renewables and energy storage. Residents get reliable, low-cost energy produced close to home, and utilities can use microgrids to quickly pinpoint and correct problems during an emergency. 

Because the grid is such a critical piece of infrastructure, the government is stepping up to help. Luckily, the IRA and Bipartisan Infrastructure Law combine to create the largest investment in the power grid’s history. The laws will upgrade and rebuild infrastructure to accommodate new technology, expand service, and increase resiliency. 

Not All Sunshine 

No legislation is perfect, and the Inflation Reduction Act has shortcomings. 

Though the law does a lot for the green energy community, there are several holes, including some outside its control. 

The Rules Can Be Murky 

No government initiative would be complete without endless confusing and difficult rules. 

Between understanding how to qualify for the ITC and PTCs, navigating community, county, state, and federal regulations, and chasing down funding, getting projects off the ground is slow. Worse yet, the ITC and PTC dollars are sometimes not easy to qualify for and will only get harder to reach in later years. 

Despite the occasional trouble, companies have invested billions of dollars into developing a vibrant solar energy industry. 

Interest Rates Are Still High 

The long-term solar industry is growing by leaps and bounds, but high interest rates temper some investments. 

High interest rates make projects, facilities, and infrastructure upgrades more expensive. Everything comes with an extra added cost, potentially leading to delays or cancellations for builds. 

High interest rates have also resulted in a sharper increase in solar LCOE compared to fossil fuels. Though solar is experiencing an uptick in cost, fossil fuels still have a higher LCOE, making solar and other renewables more cost-efficient over the long run. 

Additionally, anticipated rate cuts in the coming months may kickstart investments in other projects, keeping the good times rolling. Investments are booming dramatically under the IRA despite currently high interest rates. 

We Still Rely on Others for Panels 

In June 2022, the Biden administration issued a two-year moratorium on solar panels from four Asian countries to keep projects going while domestic manufacturers caught up. 

The temporary pause is over, and new tariffs have been added to overseas solar products.  

Why? To protect a bevy of new manufacturers in the U.S. Without tariffs, cheap solar panels could flood the U.S. market, driving domestic manufacturers out of business. 

While solar manufacturing is making headway in the U.S., the industry cannot compete with low-cost panels. Tariffs keep the playing field even until U.S. manufacturers can sufficiently meet demand. 

Despite the tariffs and occasionally frosty relationship with China, the United States relies on many solar products. China controls roughly 80% of the global solar supply, from raw material sourcing to finished goods. 

Prices could skyrocket if solar EPCs and other installers lose access to overseas solar panels. American-made products are high quality but come at a high cost – sometimes too high for a budget to absorb. 

Spiking prices could cripple U.S. solar expansion until the domestic manufacturing supply chain catches up. 

Looking to the Future 

All things considered, renewable energy is moving in the right direction. 

Domestic manufacturing is increasing, and public/private investments are pouring in. Under the IRA and other initiatives, the industry should reliably expand over the next decade. Costs are stable, the government has incentivized expansion and development, and consumers are saving money in the long run. 

Though the long-term prospects look good, the upcoming 2024 election could affect the future of renewables. Depending on who assumes office and what agendas are announced, portions of the IRA could be rolled back or scrapped entirely. 

Overall, the IRA has done its job. Solar and renewable investments are exploding, the industry is vibrant, and there is real hope for a carbon-neutral future.

Will High Interest Rates Stifle Solar EPC Development?

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Solar development is thriving across the United States, but why? 

While we can suggest growth is directly tied to climate change goals, nuance is missing. Climate change drives solar adoption, but maturing technology and lower costs influence it, too. 

Lower Costs, More Adoption 

New technology is always expensive when it first hits the market.  

Like electric vehicles, computers, and MP3 players, solar panels cost less than what they did when they were first sold. According to the National Renewable Energy Laboratory (NREL), the cost of residential, rooftop commercial, and utility-scale solar fell 64%, 69%, and 82%, respectively, from 2010 to 2020. 

In 2022, a tariff moratorium benefited the solar industry by allowing companies to import low-cost solar panels from Asia. Though the tariff is ending, it has given domestic manufacturers time to increase production. Domestic panels may be more expensive but cost less to ship and have a shorter supply chain. 

Soft costs are also improving, though more slowly than hard costs. Unfortunately, there isn’t one universal policy, leaving communities and states to create rules. This results in processes that slow down solar projects and potentially increase costs. 

Despite political and technical hiccups, solar installations are up. Solar Energy Industries Association (SEIA) data suggests solar accounted for 75% of new electricity capacity added in Q1 2024. The organization also mentioned utility solar projects were doing well, setting quarterly records in Q1 2024. 

But amongst all the excitement, a storm cloud could derail momentum. 

Tackling Climate Change with Solar 

Generating electricity isn’t always clean or cost-effective, but it’s part of our daily lives. 

Unlike fossil fuels, solar energy and other renewables are cheaper, cleaner, and infinitely available. As a result, solar farms are playing a critical role in upgrading our clean energy portfolio. 

According to the U.S. Energy Information Administration (EIA), the country added 15.8 GW of solar power from January to September 2023 – up 30% year-over-year. While it’s great news for the industry, the country, and the environment, the solar boom is facing headwinds. 

Wood Mackenzie, a data and analytics company, believes inflation could temper solar energy’s sunny outlook. When inflation rises beyond the normal range, it sends ripples throughout the economy. With inflation spiking in recent years, Wood Mackenzie fears the renewable market could be impacted more than other industries. 

The group says photovoltaic (PV) installations are expensive to establish, resulting in high investments and low returns. However, solar has long been an attractive choice because of its levelized cost of electricity (LCOE), a metric comparing different types of energy to one another. 

Solar has a much lower LCOE than fossil fuels like natural gas, but its advantage shrinks as inflation rises. 

Inflation Looms Large 

Inflation-wise, life was pretty good for many industries emerging from the Great Recession. 

Rates were low and steady, allowing businesses and the economy to flourish. But after more than a decade of stability, COVID-19 ruined the party. 

As the world reopened and life returned to normal, inflation boomed. By the middle of 2021, the 12-month inflation rate had risen to more than 5%. A year later, we saw inflation rates around 9%. The rate has cooled but still sits far above where it was only a few short years ago. 

Some inflation is good because it encourages businesses to invest, but excessive inflation does the opposite. Over time, higher inflation means less profit. High inflation makes operating costlier, ultimately hurting industry growth, especially in emerging markets. It also makes it harder to plan for future projects because money is “more expensive.” 

How Higher Inflation Affects Solar EPCs 

The simple response to the impact of inflation on the industry is to say, “Everything is more expensive.”  

However, several areas of solar development may feel the brunt more than others. 

Projects Are More Expensive 

When interest rates increase, so do financing costs. 

In straightforward terms, financing costs are tied to borrowing money for funding projects. These costs include loans, interest, and other fees. As these costs increase, it’s harder to afford more or larger projects. 

For solar sites, upfront costs make up the majority of expenses. Engineering, Procurement, and Construction (EPC) companies must purchase racking, solar panels, wiring, and connectors while juggling permits, taxes, and land costs. Once the project is complete, costs fall dramatically as maintenance and operation costs are much lower. 

Of course, the upfront costs bring new solar projects online. When rates are high, companies are less willing to jump into new projects. Over time, the number of delays increases alongside cancellations. 

A Ripple Effect 

Delayed or canceled projects have impacts far beyond one job. 

Higher interest rates may cause delays and cancellations, potentially impacting solar development in certain areas. With fewer projects, there aren’t as many jobs for installers, electricians, and other professionals. 

On the other hand, solar is still a growing industry with a shortage of qualified professionals. More delays may lead to fewer opportunities in the short term and more trouble finding labor if demand picks up. 

Additionally, as we saw during COVID-19, supply and demand metrics can throw the entire supply chain off. When interest rates are high and projects slow down, companies are less likely to hang onto inventory because it’s more expensive. When materials sit on shelves, it creates sunk costs because inventory isn’t moving. 

Supply chains could suffer, especially when the solar panel moratorium ends. For two years, solar installers have had access to low-cost panels from overseas, specifically East Asia. The moratorium was supposed to help increase domestic manufacturing, but the domestic supply still poses concerns.  

In this case, companies may have to pay more for materials while dealing with supply chain hiccups. 

Beating Back Inflation 

Inflation may be high, but there’s hope for companies, installers, and the industry. 

The Federal Reserve will likely reduce interest rates this year, but it’s not guaranteed. With that said, solar installers have options to reduce costs and keep projects moving. 

Take Advantage of the Inflation Reduction Act (IRA) 

The IRA has plenty of initiatives and incentives to encourage solar development. 

Some of the most common are ITC and PTC credits that kick in upfront or over time. For example, an ITC credit does not change based on variables, but a PTC credit could change based on project costs, other available credits, and even the environment the array is in. 

Expanding on the IRA’s benefits, the law also includes other incentives and programs for underserved regions. Their goal is to encourage the development of low-cost, reliable energy projects in rural, low-income, and tribal areas. 

Simplify Permitting 

One problem associated with solar development is navigating a maze of permitting red tape. 

Though the process has improved, states and communities may have vastly different procedures. Solar EPCs should look for communities, regions, and states welcoming solar. These areas are more likely to have simpler permitting processes, which can get projects off the ground faster. 

Several organizations and agencies have information available to streamline the permitting process, including: 

Improve Productivity 

Besides materials, labor is a massive cost center – especially on larger projects. 

Keeping projects on track often means using parts that reduce in-field work as much as possible. Pre-made components limit mistakes in the field because all parts have been tested before leaving the factory. They also allow crews to get on and off the site faster, letting them move on to the next project. 

For example, bundled wire and pre-made PV connectors cost slightly more than single reels and field-made connectors. The higher cost is more than returned in savings, as workers can install PV wire up to 80% faster. Over several projects, the labor and time savings more than cover the extra cost with fewer workers on site. 

Light at the End of the Tunnel 

Inflation remains high but is slowly falling. 

As with anything in life, what goes up must come down. Construction input prices have slipped recently, leading some experts to take it as a sign of easing inflation. The hope is with softening prices, the Federal Reserve may cut interest rates in the coming months. 

Though construction is tangent to solar farm installation, it offers the economy hope. Solar EPCs are in a unique situation right now. Although costs are increasing in the short term, so is the demand for renewable energy. 

We thought the market might slow down, but it has stayed strong. This has encouraged installers and manufacturers to continue pushing for long-term projects and development. Meanwhile, the industry is navigating a labor shortage, opening the door for people to access high-paying solar jobs. 

The industry is stronger than ever, prompting companies, utilities, and communities to invest in solar. These installations provide clean power to the electrical grid and help reduce greenhouse gas emissions caused by fossil fuels. 

EPCs still have options to save money despite the economic environment. It only requires forward-thinking site placement, permitting strategies, material sourcing, and labor decisions.

Bright Idea: Converting Brownfields into Solar Farms

Posted on by bop-admin

Go for a drive anywhere in the United States, and you probably won’t be far from a current or former brownfield site. 

According to the Environmental Protection Agency (EPA), more than 450,000 brownfields litter the U.S. But what is a brownfield, and why are governmental, public, and private organizations so interested in them? 

As it turns out, brownfields may play a vital role in our ongoing solar energy development. The EPA defines a brownfield site as “a property where expansion, redevelopment or reuse may be complicated by the presence or potential presence of a hazardous substance, pollutant or contaminant.” 

Typically, brownfields are former locations used for industrial or commercial activities, including manufacturing, storage, or processing. Using this explanation, examples include factories, gas stations, railyards, and landfills. 

Unfortunately, their ties to chemicals, heavy metals, and other potential pollutants make them unattractive development sites. Unlike greenfield locations, which are undeveloped pieces of land ripe for expansion, brownfields require rehabilitation before use. 

Not Every Brownfield is the Same 

Although every brownfield requires cleanup before reuse, some need more than others. 

Depending on the location and surrounding area, rehabilitation could be worthwhile. Some sites have found new lives as golf courses, offices, shopping areas, mixed-use spaces, and even solar farms. 

But none of this happens without investment, and even then, it could be years before a site is ready for development. However, with enough time, money, and work, formerly forgotten properties can find new life and return to the tax rolls. 

From Brown to Bright 

One type of brownfield receiving a lot of interest from the solar community these days is landfills. 

Landfills are disposal sites for municipal solid waste (MSW), construction and demolition debris (D&C), and hazardous waste. There are two types of facilities: Subtitle D programs, which include non-hazardous municipal and industrial solid waste, and Subtitle C programs, which accept hazardous waste. 

Depending on the location, your local dump can operate for decades, collecting and compacting community garbage. But, like everything else in life, the good times have to end eventually, setting the stage for decommissioning. 

Once the landfill reaches capacity, workers pack it down, install mitigation systems for gas and water to escape, cap it with soil and plants to prevent contamination, and closely monitor it for 30 years.  

While this might seem like the end of the story, solar energy is breathing new life into former dumps. 

Making Something Out of Nothing 

According to a 2021 RMI report, the U.S. has over 10,000 closed or inactive landfill sites. 

Seeing an opportunity, the EPA launched the RE-Powering America’s Land Initiative. The program promotes renewable energy projects on former industrial sites like landfills, mines, and other forgotten places. 

So far, the RE-Powering program has completed 530 projects and installed 2,580 MW of power, including 93% from solar and 5% wind. Even more importantly, the program has completed brownfield redevelopment projects in nearly every U.S. state. 

Every state is different, but some offer financial incentives or streamlined permitting processes to rehabilitate brownfields. Certain states, like New Jersey, New York, and Massachusetts, offer both! 

But what has the program done for former dumping grounds? 

Small Projects, Massive Impact 

Of the 530 projects touted by the RE-Powering program, 60% (318) sit on top of landfills or landfill buffers. Though most of the solar projects generate less than 5MW of power, 16 produce more than 20MW of electricity. 

The EPA’s RE-Powering program is only one of many federal, state, and local projects promoting brownfield redevelopment. For example, Governmental agencies like the Departments of Energy and Transportation tackle national initiatives, while others, like the Appalachian Regional Commission, focus on specific areas. 

According to the EPA, its programs and grants, including the Brownfields Revitalization Act, are making a difference. Through 2023, grant recipients leveraged about $20 per EPA brownfield grant dollar received. But grant money is often only one part of the brownfield puzzle. The agency highlights strong partnerships between local governments, organizations, and public/private groups to find more money. 

Despite the financial costs, federal, state, and local initiatives are addressing several long-term issues at the same time. They are finding new and creative ways to reuse brownfields and meet increasing electricity demand. 

Why Landfills Make Great Solar Sites 

Let’s be real: landfills are often not great spots to put a community park. However, they’re excellent places to set up a solar site. 

But what makes a landfill conversion so alluring for solar development? Turns out former dumping grounds are a popular choice for several reasons. 

  • Landfills are not prime real estate development targets. They require money, time, and labor to rehabilitate and carry the stigma of former pollution. 
  • Dumps tend to be in areas near roads and electrical transmission lines. Their placement makes it easier for solar energy producers to move power from the site to the electrical grid. 
  • Landfill sites may already be zoned for renewable energy development, streamlining the planning and permitting process. 
  • Solar sites near populated areas like towns may have access to guaranteed power buyers, especially in high-demand regions. 
  • Landfills have a welcoming landscape for solar energy, with little shade, unobstructed views, and even hilltop access in some instances. 
  • The land is typically cheap, making it attractive for some buyers willing to pay for rehabilitation. 
  • Depending on their size, dumps can accommodate community- or even utility-scale projects. 

Combine this with the growing number of local and state incentives available, and it makes sense why landfills have become part of the clean energy game plan. 

Potential Concerns 

Like any other prospective site, former landfills come with considerations affecting the project. 

Brownfields require special attention because of former pollution, hazardous waste, or other environmental concerns. Bulldozing everything in sight creates more problems than solutions, and developers must show restraint. 

Solar developers need to be careful around the cap.  

Grading the land is one of the first things developers do when they install a solar array. Unfortunately, grating and excavating to level land for the solar racking can damage the cap. If equipment damages the cap, contaminants and gas could escape into the air and water. 

To prevent unnecessary damage, stage heavy equipment away from the cap. If crews need to grade or excavate the area, do it carefully. And ALWAYS follow state and federal rules to avoid dangerous situations. 

Don’t penetrate the cap or damage the landfill’s mitigation system. 

The cap prevents methane and other gases from escaping outside specially controlled areas. Damage to the system could result in dangerous leaks that put the entire operation at risk. 

If an employee damages the mitigation, monitoring, piping, or other systems, it could result in dangerous gases escaping. The gas could then ignite if it encounters an accidental spark or arc. 

Dust poses a risk to workers and the community. 

Dust is simply part of the job during every solar installation but takes on a different tone at a landfill site. 

During grading and installation for a standard solar project, most crews use water trucks to moisten dirt and keep dust from flying around. The problem is that water trucks are heavy. 

Heavy water trucks and other equipment can damage underground gas and drainage systems. They should not drive on the cap if they don’t need to and be careful when required to be near fragile systems.  

Erosion and stormwater runoff are always a threat. 

Landfills have systems in place to remove water from a capped site. When rain or other liquid enters the landfill, these systems quickly flush it out to prevent damage. 

When crews grade and excavate sites, it opens the door for moisture to enter the system. Grading removes vegetation and dirt from the top of the cap, allowing water to penetrate. When that happens, it can flood landfill gas piping, preventing gas extraction. 

Hard rain can cause more cap erosion and slope instability, reducing the cap’s effectiveness. 

New Life for Old Sites 

Thanks to their location and design, landfills have become an attractive choice for solar companies. 

Beyond generating low-cost electricity on redeveloped land, landfill solar farms create a host of other benefits, including: 

  • High-paying jobs in a rapidly expanding solar industry 
  • Increase tax revenue for communities where solar farms live. Solar companies reintroduce vacant or abandoned properties to the tax roll. 
  • Fewer brownfields. When companies clean up and redevelop sites, they remove many (but not all) contaminants from the location. 

As solar energy expands across the U.S., more landfills will inevitably become solar sites. For solar EPCs, utilities, and innovative companies, there are plenty of opportunities to take advantage of ongoing development programs.  

These programs streamline the solar process, especially in states embracing renewable energy across the Northeast and mid-Atlantic. Other programs may be available on a state-by-state basis but could require more research. 

Are you interested in brownfield redevelopment? Programs like the RE-Powering America’s Land Initiative are changing the landscape, but it’s a long-term effort requiring time, money, and work. 

Talk with your state’s environmental representatives or contact your regional EPA office to learn more.

Making the Case for Prefabricated Solar PV Wire Solutions

Posted on by bop-admin

Driving past a solar installation sometimes feels daunting. Arrays can have dozens of rows of panels, stretching on for what feels like miles. 

Not only are some solar energy projects massive, but they’re also complex. Companies have hundreds of variables to consider, and the process takes years from initial planning to completion. They also cost millions of dollars between installing solar panels, securing permits, doing tests, and paying employees. 

Solar EPCs always try to manage costs, reduce installation times, and produce better results. While hard costs like solar panels and PV wire have fallen over the years, soft costs like permitting, taxes, and labor haven’t shown the same decline. 

How can companies save money on soft costs? The answer may be found in the wire holding everything together. 

Small Cost, Massive Impact 

When we look at the total cost of a utility-scale solar energy system, PV wire is low on the list. 

However, choosing the right solar wire can save time and money on your solar project installation. For example, prefabricated wires have a higher upfront cost but slash installation times. 

So, how do bundled, prefabricated solutions make the most of their engineering to save time and money? It all comes down to ease of use, consistency, and automation. 

When combined, teams can shave hours and dollars off their projects without additional effort. 

Why Do Installers Choose Pre-Fab Solutions? 

Despite all the planning and effort, sometimes you get what you pay for. 

Using single PV cables for a rooftop solar system is fine, but they can slow a utility-scale project to a crawl. Bundled pre-fab cables remove constant trips up and down each row, replacing them with one pass. 

For the average project, not making multiple trips shaves hours off each row and days off a project. But beyond faster installations, why are solar companies choosing pre-fab wire products? 

Wires are Pre-Cut and Factory Assembled 

What is the difference between a pair of jeans purchased off the rack and a custom-tailored pair? 

Jeans from the store come in many sizes, but they only offer a general fit. Meanwhile, custom-tailored jeans are specifically manufactured to fit you and only you. The same concept applies to buying single wire reels versus pre-fab bundled wire. 

Manufacturers cut pre-fab bundled cable to specific lengths matching the project’s layout, preventing wasted wire. The manufacturer also properly installs connectors, performs quality control testing, adds labels, and mounts the cable to reels. 

Not only are the manufactured cables ready to install as soon as they reach the job site, but workers don’t have to cut, crimp, or install connectors themselves. 

Less Room for Mistakes 

Employees on the job site often have varying skill levels and experience. 

Small mistakes, like a loose connection, can have dangerous implications. Fires, arcs, and shorts may cause severe damage and cost hundreds of thousands of dollars to repair or replace. 

Factory testing eliminates many issues before installation occurs. The manufacturer is also much more consistent than multiple workers on the job site. 

The other thing installers like about pre-fab wire solutions is the exact measurements used to cut each wire to length. Single wire reels often create waste during installation. Despite the higher cost, pre-fab solutions limit scrap and speed up installs because workers can immediately use them. 

Building on Labor Savings 

Pre-fab solar power cables help workers make fewer mistakes, but do they make installers faster?  
 
Instead of walking cables one at a time down the row to each solar panel, installers make one trip with all the cables. Once they reach the end of the row, they walk back down and connect each wire in the bundle to its corresponding panel. Customers can have cables marked as well, further reducing accidents and miscommunication. 

Pre-fab solutions, including bundled wire, limit opportunities for mistakes. The faster speeds also reduce labor costs dramatically, sometimes by as much as 80%.

Besides allowing works to move more swiftly on the worksite, pre-fab solutions also make solar installation teams more efficient. In many states, including those across the Northeast, solar projects ramp up in the spring and slow down toward the end of fall for the winter season. The ebb and flow of project seasonality, which is a challenge for many solar companies. 
 
When teams are using pre-fab bundled wire, projects are completed more quickly with fewer people. In turn, crews can work on more jobs during the busy season, and companies benefit from better labor allocation and shorter ramp-up and ramp-down times. 

Safer Installs 

Prefabricated PV wires are easier to work with, simplifying the job. 

Think about field-made connectors for a second. Depending on the workers’ experience, they could make mistakes as they strip, crimp, and attach connectors to the wires. While issues may not appear immediately, they could develop over the long term, limiting power generation. 

Bundled solutions remove the guesswork from the installation process. Workers only attach the connectors to the panels and the combiner box to power the system. 

Beyond being easy to use, prefabricated bundled wire is also cleaner, as there’s only one bundle of wires to worry about. The result is an organized installation with fewer mix-ups and nicer-looking outcomes free of tangled wire. 

Short- and Long-Term Savings 

Pre-fab wire solutions like bundled cable cost more than single cable options but save time and money on labor. 

Single wire reels work for small residential solar panel systems but bog down larger projects, like utility and community solar. Running single-wire reels is inefficient, more error-prone, and opens the door for waste. 

Combining the wires for a row together shortens installation times and gets workers on and off the site faster. Best yet, potential savings increase as the projects get bigger. 

Bundled Wire Leads to Better Installs 

The United States relies on clean energy more than ever, so investing in solar improvements is critical. 

Solar array technology has improved dramatically, from bifacial panels and tracking systems to more effective connectors and accessories. The same can be said for PV wire, too. 

Bundled PV wire solutions allow employees to do better work faster. Solar installations can then produce energy sooner, leading to lower electric bills for communities and businesses. 

That’s good news for everyone.

How Are PV Jumpers and PV Adapters Used in Solar Systems?

Posted on by bop-admin

When you think about the parts of a solar array, PV jumpers and adapters probably aren’t the first things that come to mind. 

That’s because solar arrays are complex projects relying on thousands of small, often unheralded pieces coming together to produce electricity. Unlike readily seen parts like the panels and racking, jumpers and adapters seem like an afterthought until you need them. 

Despite their small size, PV jumper cables and adapters have a gigantic role in keeping the system working well. Often going unnoticed, they ensure power moves seamlessly from the panels to the combiner box and eventually the grid.

The Low-Down on Solar Jumper Cables 

Solar jumper wire works similarly to jumper cables for cars, transferring electricity from one solar panel to another. 

These short lengths of PV wire have MC4 (or site-specific) connectors on both ends and connect solar panels together along a row. Their job is to connect solar panels to one another, usually the positive and negative terminals on neighboring panels.  

When fully connected, extension cables connect panels into a parallel system to create a series of panels. They also allow more streamlined installations to move power from the panels to the larger electrical grid. 

Jumpers also have a purpose outside community- and utility-scale solar installations. Residential direct current (DC) solar systems use them as a home run to the inverter box and to connect devices through optimizers and micro inverters.  

Made to Order 

Depending on the system, manufacturers can custom-make PV jumper wire to fit specific site demands. 

Although workers in the field can make their own jumpers, it’s tough to ensure quality is the same across the board. Manufacturers remove the guesswork, ensuring every cable is consistent and quality-checked before arriving at the job site. 

The result is a faster installation with fewer mistakes because workers aren’t cutting, crimping, or fitting connectors. 

What are PV Adapters? 

MC4s are among the most common connectors used on solar installations but aren’t the only ones workers may see. 

If the site is older, you may come across older MC3 connectors. MC3 connectors were widely used in the early and mid-2000s but fell out of favor because they didn’t have locking mechanisms. Without a locking mechanism, the connectors could disconnect, resulting in lost power and potentially dangerous situations. 

Other sites may not have connector requirements specified. Companies may try to find cost-effective connectors like MC4s but with subtle differences. 

Solar adapters are critical to unifying the entire site when connectors must be uniform. PV adapters have different connectors on each end, letting workers quickly convert from one connector type to another. 

The wires allow workers to avoid tearing out thousands of feet of wire, replacing countless connectors in the field, or sacrificing power generation. Sites also maintain continuity throughout the installation, limiting the risk of faulty connections or lost power. 

Steady Flows and Time Savings 

Although they’re easy to overlook, prefabricated solar assemblies like PV jumpers and adapters keep solar arrays operating smoothly. 

Jumpers connect individual panels to maintain steady power flows from the panels to the greater system. Meanwhile, adapters ensure every connector is the same across the site to maintain continuity. 

Both save time and money on the job site and ensure the system works as well as it should. Without them, installations and retrofits would be a time-consuming nightmare, leaving the door open for potential site problems. 

When it’s often said the whole is greater than the sum of its parts, these two cables do a pretty good job of keeping solar sites running at peak power.

What Happens When the U.S. Solar Moratorium Ends?

Posted on by Mike Zimm

When the Biden administration implemented a tariff moratorium in June 2022 on solar panels and other products, the goal was to encourage more solar development while domestic producers and manufacturers could catch up.  

Fast forward nearly two years later, and the moratorium is about to expire. While some companies and industries have prepared for this day, others have been feverishly looking for alternatives. But with only a couple of months to go before new tariffs kick in, what can we expect to happen? 

The biggest questions we currently face are related to ongoing solar development. What will happen to current projects relying on foreign solar panels? Who stands to benefit most from reimplementing tariffs, and who could lose? How will disruptions like this impact our renewable energy goals?

How We Got Here 

The U.S. solar industry has been growing for years, mainly because of low-cost solar panels from China, but their relationship has had its difficulties. 

In 2012, the United States placed anti-dumping duties on Chinese photovoltaic (PV) panels containing crystalline silicon. Anti-dumping duties are a defense mechanism governments use to protect domestic producers from below-fair-market value products imported from overseas. 

Chinese manufacturers soon began moving their solar operations to Taiwan to avoid the tariffs. Not long after, in 2015, the U.S. expanded its duties to include Taiwan, too. 

By early 2022, the situation had bubbled into a full-blown problem. The U.S. Department of Commerce began investigating possible tariff circumvention by China through four additional countries, including Malaysia, Vietnam, Thailand, and Cambodia.  

One year later, the Commerce Department confirmed five companies out of eight investigated had circumvented anti-dumping duties. Other companies not under investigation at the time were also found to be skirting the tariffs.

So, Why Did We Issue a Moratorium? 

There has clearly been some bad blood brewing between the U.S. and China. But why did the U.S. issue a moratorium on solar panels, racking, and other components from Malaysia, Vietnam, Thailand, and Cambodia? 

Long story short – it had to. Thanks to the moratorium, solar projects could continue without delays. It also allowed the industry to keep growing while domestic production ramped up.  

The government also had time to investigate the circumvention allegations without handcuffing the solar industry during a vulnerable time.

The Sun is Shining for Solar. Why? 

By all accounts, 2023 was a fantastic year for solar generation. 

In 2023, the U.S. added more than 30 GWdc of solar power to the grid, accounting for more than half of all new electricity. But more solar power means more than just more electricity.  

Solar Energy Industries Association (SEIA) president and CEO Abigail Ross Hopper says solar energy generates tons of money through investments and jobs. 

“Nearly half of all solar capacity on the grid today has been installed in the last three years, generating over $120 billion of private investment and thousands of jobs across all 50 states,” Hopper explained. 

But a lot of importing had to happen to get to this point. In the first quarter to the third quarter of 2023, the United States imported about 40.6 GWdc of PV modules. In most cases, the panels were exempt from Section 201 duties, which protect domestic industries from import threats. 

Looking Ahead 

The SEIA forecasts another strong year for solar in 2024, though it will likely be less impressive than last year’s growth.  

Experts predict double-digit increases for commercial, community, and utility-scale solar this year, but residential install rates may slow. The organization attributes the potential slowdown to higher interest rates keeping homeowners on the sidelines until conditions improve.

  • Commercial – 19%  
  • Community – 15%  
  • Utility – 26%  
  • Residential – (13%) 

The states leading the charge are also the ones you would expect, with a couple of surprises. Texas, California, and Florida are sunny states with plenty of room for solar arrays. Colorado and Ohio, two surprising states making strides, are leveraging clean energy initiatives and solar-adjacent industries, respectively, to add renewable energy to the grid.

Solar Expansion Isn’t All Because of the Moratorium 

The moratorium affected the U.S. solar industry, but was it as significant as some may believe? 

It stabilized short-term supply chains for solar companies and allowed domestic producers to increase production. A steady supply of low-cost solar panels from Asia kept U.S. solar projects on time while preventing delays and cancellations that could have set the industry back. 

But the moratorium was only one piece of the solar puzzle. 

Price is generally an issue for new and emerging technology but is less problematic as it ages and improves. Solar panels are a prime example of this idea in action. Module prices have fallen 99.8% since 1976, including an astounding 15% per year between 2010 and 2020. 

Solar technology is getting better and more affordable every year, opening the door for mass adoption. 

But what good are solar arrays if communities and utilities have issues storing the vast amount of electricity produced? Utilities use fossil fuels when renewable energy sources like solar and wind are not generating enough power. As we move away from fossil fuels for renewable options, the need for battery storage becomes more critical. 

Battery storage costs have fallen at nearly the same pace as solar panels, slipping 85% over the course of a decade. Installing batteries to store electricity is becoming a more cost-effective solution for temporary increases in energy production.

Leaning Into Solar 

The hard costs of solar have long been a barrier to entry for solar companies, utilities, and homeowners. Luckily, the tide is turning and opening the door for more Americans, including those in smaller rural communities, to participate in low-cost electrical production. 

Hard costs have fallen steadily as technology, supply chains, and, most importantly, availability improve. At the same time, panel efficiency and battery storage are hitting record highs and showing no signs of slowing down. 

Unfortunately, unpredictable solar soft costs are a thorn in the side of utilities, companies, and community-scale solar projects. These costs are often difficult to gauge because different states have different permitting processes. Some states are also more solar-friendly than others.

Attractive Tax Incentives 

How does the government encourage more domestic manufacturing and renewable energy adoption in the U.S.? 

It all starts with making the right investments. 

Federal ITC (Investment Tax Credit) and PTC (Production Tax Credit) adders are an attractive incentive for solar companies and utilities. ITCs reduce upfront costs, making solar projects more affordable and helping generate profits faster. PTCs are more long-term incentives to encourage larger projects to help more consumers. 

Individual states, like Rhode Island, California, New York, Texas, and Florida, have many policies and incentives to spur solar projects. These can range from tax credits or deferrals to renewable energy certificates. Each incentive drives down investment costs while creating low-cost energy for consumers. 

Federal and state programs work together to promote cleaner sources of energy that generate electricity for consumers without raising electric bills. Consumers also have a say in renewable energy, opting for cleaner community-based options with fewer environmental impacts.

What Happens When the Moratorium Ends? 

June is quickly approaching, and with it comes the end of the solar panel moratorium. What happens after that is somewhat of a mystery. 

Prices will likely rise as the tariffs tack on more import taxes. Meanwhile, domestic production of photovoltaic cells, panels, and other solar system parts is starting to take off.  

There are currently 16 solar manufacturers in the U.S., including First Solar, the largest utility and community solar producer. The increase in domestic production has also brought in several large-scale international players, including QCells, whose solar panels are a leader in the residential market. 

The Supply Chain Could Hiccup 

The solar panel supply chain will not fall apart, but it could face strain caused by companies looking for other options. 

Why would companies look for other options if there isn’t a shortage of overseas panels? The panels may still be more cost-effective than U.S.-made ones, but tariffs, duties, and other taxes can drastically affect the cost of those PV products. 

Companies are always looking for more cost-effective solutions to bolster the bottom line. If doing business with Asia is too expensive, solar installers may consider using manufacturers in other countries. However, it takes time to set up new sources, which could add time to shipping and create delays. 

Domestic production would likely reduce supply chain delays eventually, but the products are more expensive. Companies also don’t have enough supply to address total demand – but that will change as more manufacturers come online. 

Although higher domestic prices seem similar to overseas tariffs, the shorter domestic supply chain reduces potential delays.

Short-term Struggles Lead to Long-Term Progress 

Ending the moratorium doesn’t mean U.S. solar companies will lose access to overseas solar panels and other products. 

If anything, it allows the U.S. to compete on a level playing field with other major exporters. Solar growth may slow in 2024 and even into 2025, but it will not be a death knell. Domestic manufacturing is rising, and the benefits far outweigh the perceived negatives. 

The United States has a lot riding on its renewable energy programs, including solar and wind. Developing and bolstering manufacturing tied to those industries helps us one day produce electricity without relying on traditional fossil fuels. It also opens the door for us to export our own products to other countries. 

We have a unique opportunity to address electrical grid reliability while reducing greenhouse gases. As with anything, it will take time, investment, and labor, but the country is making strides toward a cleaner future.

Taking Firefighter Safety Seriously: UL 3741 Explained

Posted on by Mike Zimm

No one wants a first responder to get injured or killed while responding to an emergency. 

As solar adoption grows in the U.S., more first responders, including firefighters, must contend with solar-powered electrical panels, cabling, and other system components during emergencies. 

The systems are generally safe when everything is normal but pose a deathly risk if firefighters interact with a damaged panel or exposed conductor. 

Solar Is Becoming Mainstream 

According to the U.S. Energy Information Administration (EIA), solar energy production may surpass hydropower by 2025. Part of the growth is tied to companies, homeowners, and utilities taking advantage of the Inflation Reduction Act (IRA), which promotes solar adoption and domestic manufacturing. 

From residential and commercial building rooftops to complete community- and utility-scale solar arrays, renewable energy is showing promise. But with the rise of any energy production source, there are also questions, especially concerning safety during emergencies. 

Keeping up with new technology is never easy, but safety organizations are doing their best, including UL and the National Fire Protection Association. 

Both organizations are focused on implementing rapid shutdown systems to protect firefighters. UL 3741 is a certification awarded to systems after evaluating solar system components to determine hazard control. The NFPA’s National Electric Code (NEC) regulations stipulate safe shutdown measures to dictate how fast systems must shut down and to what voltage level. 

Together, the organizations provide a living framework to protect firefighters during emergencies and tweak the rules as new challenges arise. 

Why Do We Need UL 3741? 

UL 3741 is a product certification meant to protect firefighters who come into contact with PV arrays while performing their work on residential and commercial rooftops. 

When firefighters respond to a fire, they may have to cut a hole in the roof of the house or building. The hole allows smoke and gas to escape, increasing visibility for those inside and helping extinguish the fire faster. 

Unfortunately, sometimes firefighters come into contact with the photovoltaic (PV) system, putting themselves at risk of electrocution and shock. 

But how does accidental contact occur? Firefighters could touch or step on exposed conductors, spray water on them, damage or cut through them with their tools, or even hit one with the ladder as they climb onto the roof. 

PV systems routinely operate at high voltages, posing a severe risk of injury if accidental contact occurs. As the system ages and shows more signs of wear and tear, the risk of potential shocks grows. 

To reduce the risk, rapid shutdown requirements have become the norm for PV systems, allowing power to be cut in seconds. 

What Does It Do? 

Published in December 2020, UL 3741, the Standard for Safety of Photovoltaic Hazard Control, covers electrical current and voltage to reduce accidental shocks from a PV system while firefighters work. 

To ensure the correct measures are in place, the organization ran tests using personal protective equipment (PPE) and firefighting foam materials to see how each would react to direct and indirect contact with a PV system. 

UL 3741 explicitly references rapid shutdown procedures – in the case of an emergency, how quickly can the solar PV system reduce its energy to safe levels? Systems must be able to reduce power as fast as possible after the shutdown switch is triggered, even if regular electrical power is off. 

Rapid shutdown PV arrays can rely on one of several triggers, including a manual shutdown, auto shutoff, or remote interaction, to deactivate panels. Solar components must pass strict tests to receive the UL 3741 certification, including ones simulating situations firefighters may find themselves in while encountering solar panels, PV wire, string inverters, and other items.  

Understanding the NEC’s PV Hazard Control Rule  

Like the UL certification, the NFPA has a rule in its National Electrical Code to address firefighter safety. 

Section 690.12(B)(2)(1) of the 2023 NEC states: 

“The PV system shall provide shock hazard control for firefighters through the use of a PVHCS installed in accordance with the instructions included with the listing or field labeling. Where a PVHCS requires initiation to transition to a controlled state, the rapid shutdown initiation device required in 690.12(C) shall perform this initiation…”

So, how quickly does the shutdown have to be for a solar system to satisfy the NEC’s rule? According to the NFPA, voltages must fall below 80 volts within 30 seconds. Though 80v can still shock someone who encounters an exposed conductor, the de-energized system poses less risk. For context, the average U.S. home runs on a 120v/240v electrical system. 

With that said, there are exceptions to the NEC rule. Ground-mounted PV systems entering buildings are exempt, as are solar installations on top of carports, solar trellises, and parking shade structures. This is because firefighters likely won’t have to break any holes for ventilation. 

Safety is the TOP Priority 

Firefighters must protect occupants and ventilate the home or building quickly during an emergency. 

With everything moving so fast, sometimes unintended mistakes happen, and solar system parts become damaged. In cases like this, certified and NEC-compliant PV hazard control systems tell the solar array to stop generating electricity and shut down immediately, reducing the risk of critical injury or death. 

Even with the UL certification and NEC regulations, improvements can be made. Although the system must shut down in 30 seconds or less, shortening the timeframe could allow firefighters a few more precious seconds to complete their work. Newer, more advanced technology could achieve shorter shutdown times. 

Pricing is also a factor. Shutdown controls are expensive and installing module-level power electronics (MLPE) costs both time and money. The impact is minimal for small residential projects with only a couple of panels but may quickly inflate project costs for commercial rooftops supporting dozens or hundreds of panels. 

Since their inception, UL 3741 and NEC Section 690.12(B) have drastically improved conditions for firefighters and others who may encounter solar installations. As technology improves, so will the rules governing its use.