Tag: renewable energy

Is Corporate America Leading Solar Adoption?

Posted on by Mike Zimm

Utility-scale solar adoption is rising in the United States, but do we have some of our favorite brands to thank? 

The U.S. Energy Information Administration (EIA) says more than 29 gigawatts (GW) of solar energy could be installed this year, comprising more than half of new energy coming online. According to the organization, the projected 29.1 GW would be more than double the next highest installation year in 2021. 

Solar has been part of the ongoing renewable energy industry renaissance for over a decade. It’s not showing signs of slowing down, either – even with supply chain hiccups in 2022. 

So, what’s causing so much change in the solar market, and why are people bullish on the future of solar power? It comes down to a few stars aligning at the right time, including policy changes, new funding and support, and better, more consistent supply. 

It also helps that America’s largest and most influential brands are stepping up to add solar to their portfolios. 

Utility-Scale Solar Moves Beyond Energy Producers 

When you think about utility-scale solar, utilities are the first thing that comes to mind. 

Although utilities are still the largest solar energy producers, corporations across the U.S. are testing the waters. Increasingly, these companies have aggressive renewable energy and carbon neutrality goals, making their investments a no-brainer. 

Meta (which owns Facebook, Instagram, and WhatsApp) is leading the way with nearly 3,600 MW (3.6 GW) of solar power installed as of June 2022. Other corporate giants like Amazon, Microsoft, Target, Cargill, and Kaiser Permanente are following suit, investing in solar projects across the United States. In fact, 18 of the top 25 companies on the SEIA’s 2022 Solar Means Business report have 100% renewable energy or carbon-neutral goals. 

Though the attention often goes to huge companies, the truth is hundreds of organizations are investing in utility-scale solar. Through June 2022, about 19 GW of solar can be attributed to corporate solar investments, and 27 GW more is expected to come online by 2025. 

Why Are Companies Choosing to Go Solar? 

Billion-dollar organizations aren’t usually known for their kindness, but investing in solar installations carries several benefits. 

Not only do they generate electricity that can be used by the company to offset electricity costs, but the projects also open the door for more clean energy initiatives to offset greenhouse gas emissions. 

Sustainability 

According to the SEIA, nearly one-fourth of large-scale solar projects had at least one commercial buyer. 

We know solar energy is one way of reducing our carbon footprint while distancing ourselves from fossil fuels. Reducing carbon dioxide emissions impacts greenhouse gases, which radiate heat in our atmosphere. Greenhouse gases are partially to blame for rising temperatures causing environmental concerns, including ocean acidification. 

The good news is corporate solar installations are making a difference. According to the SEIA’s reporting, the amount of CO2 reduced is equal to removing 4.4 million cars from the road. 

It’s Tax-Friendly 

When the Inflation Reduction Act was signed into law in August 2022, it opened the door for homeowners, companies, and others to invest in solar energy. 

Not every company is Meta, Walmart, or Amazon, but they can still take advantage of IRA tax incentive programs. These include the Investment Tax Credit (ITC) and the Production Tax Credit (PTC), which cover installation costs and electricity generation, respectively. 

The Investment Tax Credit is upfront and reduces federal income tax liability for installation costs, depending on the system’s cost. The Production Tax Credit is determined by the amount of electricity generated. It reduces federal income tax liability based on how many kWh are produced during the system’s first 10 years. 

Depending on the size of the installation and how much power is generated, sometimes the ITC is the better tax credit to choose. However, if the system produces a lot of electricity, the PTC is more beneficial. 

There are several eligibility requirements tied to the incentives, but navigating them successfully usually produces long-term savings. 

Low-Cost Electricity 

No one can resist a bargain, including your friendly neighborhood conglomerate. 

Renewable energy is one of the cheapest forms of energy out there, undercutting fossil fuels across the board. One reason for the low cost is the massive drop in solar project costs over the last decade. According to the World Economic Forum, solar prices have fallen roughly 85% in the last decade, positioning more companies than ever to take advantage of emerging technologies. 

Solar isn’t the only renewable energy worth considering. Most renewables coming online today, including wind energy, produce electricity more cheaply than traditional fossil fuels like natural gas or coal. 

Positive Long-Term ROIs 

Establishing a solar farm is still expensive, but government tax incentives and generating low-cost electricity for decades lessen the sting. 

Solar energy electrical costs are between .03 and .06 per kilowatt hour (kWh). Fossil fuels come in slightly higher, at .05 to .17 per kWh. Kilowatt-hours measure electricity usage based on a 1,000-watt appliance. 

When stretched out across the typical lifespan of 25-30 years with little maintenance, it’s understandable why more companies are investing in panels. Panel warranties also usually last 25 years, making them a low-risk investment for companies with aspirational emission reduction and energy goals. 

Renewables Become Commonplace 

Establishing massive solar farms was once too expensive for everyone but the largest companies. 

Today… not so much. 

Building a solar array is still expensive, but the cost of entry is falling, allowing more companies to participate. Meanwhile, installations are more reliable and last longer, improving ROI across their lifespan. 

This isn’t to say solar energy, wind power, geothermal energy, and other renewables will take over tomorrow. All renewables, including solar, must keep improving to increase efficiency and live up to the world’s ambitious climate change goals. 

Corporate America, including some of the world’s most influential brands, is helping lead the charge. Of the top 25 companies featured on SEIA’s Solar Means Business report, 16 are on the Fortune 500. 

It’s an exciting time to work in the renewable space. Solar technology is rapidly improving, and new innovations are on the horizon. Companies jumping on the trend today could potentially position themselves for massive future returns.

Production, Labor, and Land: The Push for Solar Energy

Posted on by Mike Zimm

You’ve probably seen renewable energy, including solar, receiving large-scale investments lately. 

It’s no surprise the solar industry is growing, especially given the world’s push to curb climate change. The U.S. solar market currently totals $35 billion and generates about 5% of our country’s electricity – nearly 11 times more than a decade ago. The trend is expected to continue, thanks to recent actions from the Biden administration, including the recently passed Inflation Reduction Act (IRA). 

The government’s actions are spurring excitement in the industry. Solar manufacturers are announcing large-scale production investments, including Qcells, Enel, Maxeon, and CubicPV. These projects are expected to increase domestic solar production more than five times, expanding from 7GW to more than 42GW. 

Though the IRA encourages companies to invest in renewable energy, the changing geopolitical climate plays a vital role. In 2022, a 24-month tariff moratorium was announced for solar panels coming into the U.S. from four Asian countries, including Cambodia, Malaysia, Thailand and Vietnam. The stay allows U.S. companies to import low-cost solar panels from Asia while giving domestic manufacturers time to increase production. 

The utility-scale solar growth has been nice, but there are still barriers to success, including: 

  • Reliance on imports 
  • Permitting and regulatory red tape 
  • Ongoing labor issues 
  • Public skepticism of solar power 

Combatting these issues may supercharge the clean energy industry and allow for more utility-scale solar power domestically. 

Fewer Imports, Better Results 

China is a key player in the solar energy industry. Not only does it produce a large number of low-cost solar panels, but it’s also a leader in energy storage. 

Although China’s solar panels are inexpensive, they come at a cost. There are questions about the country’s skirting of duties applied to them, and their low cost has made it difficult for domestic manufacturers to compete. 

COVID also showed us that supply chains can be easily disrupted, making getting supplies quickly or reliably harder. 

Recent developments like the IRA may reduce U.S. reliance on other countries. Contrary to what that sounds like, it doesn’t mean the U.S. is cutting China or any other country out. We’re simply narrowing the supply chain and bringing more production stateside. 

Since the IRA became law, innovative companies have jumped in to support solar expansion, committing to producing everything from modules and inverters to batteries, copper foil, and photovoltaic (PV) wire. Even structural products like racking and trackers are showing signs of increased production as manufacturers take advantage of the changing business climate. 

Unfortunately, we can’t flip a switch and immediately start production. It can take months, even years, for production facilities to come online. However, the hope is that with enough lead time to get production moving, the U.S. can become competitive in the solar space. 

Streamlining the Permitting Process 

Let’s be honest; the government is a lot of things, but fast isn’t usually one of them. Despite the Biden administration helping installers get low-cost panels and freeing up billions of dollars to promote renewables, there’s more to do. 

The permitting process is different depending on where the installers are. Even the Environmental Protection Agency (EPA) has called the permitting process a “patchwork” of regulations varying from state to state. 

To make the process smoother, the EPA introduced a toolkit to help developers, utilities, and communities navigate regulations, secure financing, and troubleshoot issues. But organizations like the SEIA are calling for more permit reform. In their eyes, reducing red tape adds jet fuel to a burgeoning industry, opening the door for more jobs, revenue, and opportunity. 

Although there have been attempts to streamline the building process for companies to set up distributed energy systems, none have succeeded. For example, the bipartisan American Energy Opportunity Act of 2019 bill called on the Department of Energy (DOE) to designate a board to help qualify communities with solar systems and certify installers in the space. It died without a vote or any other action. 

Establishing Better Career Promotion and Labor Relations 

As with any growing industry, thousands of skilled and unskilled jobs are available. The problem is finding enough people to meet increasing needs. 

Unskilled labor is in high demand, but so is the need for electrical, process, and chemical engineers, scientists, architects, physicists, planners, and more. The jobs are certainly available, more so with the increased focus. 

More than 250,000 people work in the solar industry, with job growth in 47 of 50 U.S. states. Among them, California, Texas, New York, and Florida are at the forefront of hiring and employment. Even states traditionally tied to fossil fuels are beginning to lean into solar. 

The labor shortage doesn’t have to cripple solar. If private companies, utilities, colleges, and governments collaborate, it simplifies recruiting efforts and builds industry interest early on. Training programs, apprenticeships, and veterans programs are only a few ways to introduce new workers to renewable energy occupations. 

Creating Positive Perceptions 

For some people, solar is the future of electrical energy and a way to rely less on fossil fuels. Others see PV panels as another way to muck up a hillside view. 

Solar has plenty going for it, but it also has its fair share of detractors. Often helmed by rural mobilization efforts, arguments range from deforestation fears and aesthetic issues for homeowners to agricultural concerns. The truth is that solar installations aren’t nearly the nuisance people think they are. 

Think about the last time you looked at a swamp and thought, “Wow, what a great place to build!” Solar sites aren’t typically found where other development is attractive or possible.  

Swamps, steep hillsides, and farmland are great locations for utility-scale solar installations because they don’t interfere much with our daily lives. For example, one Sun-Pull solar installation is tucked in behind a correctional facility. Another is in what used to be an unused swamp area off a busy road. 

In the case of farmland, agrivoltaics is literally changing the solar landscape. Recent studies have shown that combining solar panels with grazing areas or cropland can benefit both the land and the panels. Unlike other solar installations, which only serve one application, agrivoltaics let property owners use the land while leasing it out. 

What’s important to remember is that education breeds awareness, especially in communities where solar is a practical solution. Better access to tools and information can alleviate concerns and encourage residents to learn more about community and utility-scale solar. 

Solar Goes Mainstream 

This is an exciting time to be in the solar industry, but there’s still more to do. 

The industry needs continued investment from private and public sources. An influx of money will spur production, job growth, and energy reliability as the world turns more toward renewables. 

Solar manufacturing and installation jobs pay well, have job security, and can help revolutionize the electrical utility industry. More workers also push innovation, better designs, and increased interest in revamping the electrical grid. 

Solar power is the future of energy. As installed capacities increase and technology improves, getting much of our energy from the sun, wind, and water will become commonplace. But it’s not all about getting away from fossil fuels; this is a move toward unlimited sustainable, clean energy. 

The renewable revolution is here. With a sustained effort, the U.S. is more than capable of reaching its lofty energy production goals.

Buy American Act vs. Buy America Act: What’s the Difference?

Posted on by Mike Zimm

Sometimes one letter can make a big difference. 

There have been plenty of times in our nation’s history when the government has decided to get a little creative with the names of important legislation. However, in the case of the Buy America Act and the almost-the-exact-same Buy American Act, this was apparently not one of those times.  

As a result, we have pieces of legislation that sound very similar but are somewhat different once you dig into the details a little more. 

The Buy American Act and Buy America Act are separated by nearly 50 years but are rooted in the same meaning. Both dictate that projects requiring federal funding must use products manufactured in the United States from primarily American materials. If that can’t be done, or if the cost is prohibitive, then waiver requests are allowed to swap American materials for foreign-produced goods. 

While the two acts look and sound similar, there are distinctions. Failing to adhere to the regulations outlined in each could lead to massive fines for companies using federal dollars to get work done. 

The Buy American Act  

The Buy American Act was signed into law in 1933 at the height of the Great Depression to encourage the use of more American goods for government contracts. 

Federal agencies and companies fulfilling contracts on their behalf are required to procure domestic products and construction materials for use when the contract is worth more than $10,000. To qualify, finished goods and materials must meet a few conditions:  

  • The materials must be intended for public use and in the public interest.  
  • Products or materials must be manufactured in the United States, and the cost of the mined or sourced components needs to account for at least 55% of the total cost of components, or…  
  • The product is available commercially off the shelf in a high enough quantity and quality.  

If the materials needed to fulfill the contract are unmanufactured, they must be mined or produced within the U.S. 

Waivers are available when domestic products are cost-prohibitive or if they could possibly run the U.S. afoul of a country we have a trade agreement. In cases like these, products can be replaced with those that are 100% grown, produced, or manufactured in another designated country. 

Products can also include materials from non-designated countries, as long as they are manufactured in a designated country. 

Buy America Provisions  

Here is where things get a little tricky. Despite having almost the same name, the Buy America provisions are more specific in their rules. 

Buy America is tied to federal assistance and generally related to infrastructure projects like highways, public transport airports, and even Amtrak contracts. It also extends into water infrastructure projects, though the contracts are generally covered by the EPA. Projects associated with Buy America are often tied to state and local transit, and water projects are headed up by the EPA.  

In addition to only covering specific types of projects, Buy America goes one step further by allowing each federal agency to create its own requirements. This means the EPA, Federal Highway Administration, Department of Energy, and others have their own criteria to enforce and maintain.  

As with the Buy American Act, Buy America has waivers available. They can be issued by the agencies on a case-by-case basis if the applications are inconsistent with the public interest or if there isn’t enough product available of a high enough quality.  

Because rules and regulations can vary between agencies, it’s critical to work closely with the funding agency to fully understand what criteria need to be met. Staying within the rules helps avoid costly compliance issues and other mishaps. 

Complying with Buy America  

For products and materials to comply, they must be 100% manufactured in the United States. Additionally, the steel and iron used must be mined, processed, and manufactured in the U.S., meaning all components come from America. 

It should be noted that the provisions allow for some different criteria based on the agency. For example, the FTA may require iron and steel to be 70% domestic product, but all manufacturing must take place in the U.S. Other agencies may lower the percentage to 50%, while the EPA and Federal Highway Administration are strict about iron and steel products being 100% U.S.-made.  

Once again, it’s worth checking in with the agency providing the funding to learn more about the thresholds when Buy America provisions kick in and to what extent.

Build America, Buy America Act  

The Build American, Buy American Act (BABA) was included as part of the Infrastructure Investment and Jobs Act of November 2021 and took effect in May 2022. 

These rules expand the Buy America rules and stretch into other infrastructure projects besides transportation, including:  

  • Electrical utilities  
  • Transmission facilities  
  • Broadband operations  
  • Buildings  

Besides expanding the industries where Buy America rules take effect, the requirements also expand beyond iron and steel to include nonferrous metals, including copper, plastics and polymer-based materials, glass and optical fiber, lumber, and even drywall.  

Though the list has grown to include more materials, certain mined products like cement and stone are not included in the Build America, Buy America Act.  

Like previous legislation, BABA has similar requirement thresholds that must be met, including items and construction materials produced in the United States. Qualifying projects also include any new construction, along with repairs and other maintenance to be done.  

Waivers under BABA are available if the application goes against the public interest, materials aren’t available in the U.S. at the quality or quality needed, or if the price for U.S.-made products would raise the overall project cost by more than 25%.  

Once a waiver is submitted, it undergoes review by the agency funding the project. It is also published, opening it up for a general public comment period lasting at least 15 days. 

The Importance of American-Made Products  

When compliance means everything, knowing where your products are made can make all the difference. 

Sun-Pull’s products are all proudly made-to-order in the USA at our Rome, NY facility, then shipped quickly and accurately to distributors and job sites across the United States. 

When location matters, Sun-Pull is ready with the wire and cable solutions needed to get the job done.

What Are the Soft Costs of Utility-Scale Solar? 

Posted on by Mike Zimm

If you’ve followed the solar energy trend with any interest over the past 10 years, you’ve likely seen a few massive changes in utility-scale solar operations. 

As solar panel technology improves, one question remains: is solar energy becoming cost-effective enough to displace fossil fuels? The answer to that question is a resounding yes, but we can do more to improve costs and expand the solar industry’s reach in the United States. 

While hard costs tied to utility-scale solar power have dropped considerably since 2012, soft costs haven’t seen the same changes. As the price of panels, PV wire, and the overall solar BoS decrease, the money spent on permitting, inspections, and operations become a larger piece of the pie. 

Luckily, many experts believe soft costs can fall with some additional investments, training, and standardization. 

Breaking Down How Utility-Scale Solar Costs Shake Out 

Whenever a solar project gets underway, there are two expense types that the utility needs to keep in mind; hard costs and soft costs. 

Solar Hard Costs 

Hard costs are budgeted into the account, and their prices tend to be fixed. Items that fall into this category are the parts and pieces needed to actually get the solar array up and running, including: 

  • solar modules 
  • inverters 
  • racking and other panel mounting systems 
  • Photovoltaic (PV) wiring 
  • energy storage 

Though it’s safe to say these costs can be counted on to stay in a determined range, higher quality products may come with short-term and long-term savings that could affect soft costs down the line. For example, Sun-Pull’s bundled PV wire can drastically reduce installation time and labor expenses, cutting overall project costs. Over the past decade or so, hard costs have fallen by about 60%. 

However, supply chain issues caused by the pandemic and our subsequent recovery have pushed prices slightly since 2020. 

Solar Soft Costs 

These cover everything else that isn’t a physical part of the solar installation. In the case of a solar installation, a breakdown of soft costs includes: 

  • installation labor 
  • permits and taxes (including sales tax) 
  • sales promotions and new customer acquisition 
  • administrative, marketing, and other overhead expenses 
  • operations 
  • supply chain expenses 

Unlike hard costs, which are somewhat predictable, soft costs are tied to several factors. These could include permitting and inspection fees, hiring and training new workers, money spent on community programs and educational materials, marketing programs to acquire and maintain customers, software, and more. 

Though soft costs have fallen, they have not had nearly the same drop as hard costs. Product prices tend to react more favorably in the face of more available options, better technology, and fewer restrictions. 

Cutting Down on Soft Expenses 

In 2017, the National Renewable Energy Laboratory (NREL) suggested soft costs made up more than 40% of a utility-scale system’s costs. Unfortunately, though overall prices have kept falling, soft costs are still about 36% of total utility solar expenses in 2021. 

If prices are high here, they must be high everywhere, right? Not so much. Utility-scale PV soft costs in the U.S. are still higher than those of other countries with developed solar markets, partially due to a lack of combined efforts. 

There is hope, however. The Department of Energy (DoE) says they can be mitigated with a few changes to get everyone on the same page. This includes standardizing codes and providing more educational opportunities for permit issuers, real estate professionals, and others in nearby industries. It also includes creating more effective integration strategies that make it easier to connect solar arrays to the overall electrical grid. 

Part of the current issue is that plenty of money has been spent to create technology that reduces hard costs but isn’t always applied to reducing soft costs. As with any solution, getting from where we are now to where we’d like to be will involve a few investments. 

Utility-Scale Solar PV Systems Can Benefit from Lower Costs 

The solar industry isn’t alone in its fight to make utility-scale solar more affordable. It will take a concerted effort from the government, private companies, and social organizations to complete. 

It requires the government to reduce the red tape associated with permitting and inspections. Companies need to look for organizational savings wherever possible, including software platforms that streamline operations and simplify processes where possible. Even variable expenses like marketing, attracting new customers, staffing, maintenance, and insurance offer opportunities to reduce overhead. 

The goal should be to make utility-scale solar energy and other renewables accessible to more people. To accomplish it, we must do our part to keep installation costs down and encourage investment.

5 Solar Trends We’re Watching in 2022 and 2023

Posted on by Mike Zimm

The solar industry is growing by leaps and bounds, leaving many to wonder what the next phase of growth might look like and when it could arrive. 

President Joe Biden has expressed the need for more renewable energy to meet the country’s ambitious environmental plans. The ultimate goal is to move to a completely decarbonized energy sector by 2050, but the United States will need a massive boost from its sustainable energy producers like wind, hydro, and solar power. 

So what exactly does the future look like for solar? We’ve highlighted the five biggest solar power trends we think will influence the rest of this year and into 2023, and it’s a mixed bag. Some of what we’re seeing is incredibly encouraging, while other aspects give us some reason for short-term concern. 

From the supply chain to overseas tariffs, these are the five biggest trends we’re watching this year. 

The Supply Chain is Dictating Solar Costs 

Unfortunately, the world has not recovered from the COVID-19 pandemic nearly as quickly as we had hoped for. 

China’s on-again-off-again lockdowns have caused starts and stops in many manufacturing supply chains, resulting in lower availability of goods. Labor issues in the U.S. mean there aren’t enough dock workers and truck drivers to move raw and finished materials from ports, creating additional supply chain bottlenecks. 

The lack of manufacturing production combined with less labor means that are fewer products available, leaving companies and utilities scrambling to source everything from solar panels and batteries to copper wire. These unintended shortages and delays have put the brakes on some utility solar projects, with some utility scale solar projects facing delays ranging from a couple months to next year. 

According to the SEIA, solar prices were up 18% in 2021, though the spike can’t solely be attributed to a shaky supply chain (more on this topic later). The organization went on to say that about one-third of 2021’s Q4 capacity was delayed by a quarter, while about 13% of capacity slated for this year has been pushed back at least a year, or cancelled entirely. 

The supply chain’s struggles are now becoming the entire industry’s problems. Short-term solar forecasts are down by nearly 20%, and reports suggest the industry could grow about 25% less than expected this year. 

It’s not all bad news. Even with the pandemic, utility scale solar power costs dropped going into 2021, falling by about 12%. Short-term spikes in the cost of materials, including those used to make the panels, threaten to erase those cost savings, though relief seems to be on the way from the Biden administration. 

The Solar Industry Is Dealing with Tariffs Galore 

For several years, China has found itself the subject of anti-dumping regulations from the U.S. Simply put, dumping is what happens when a company offloads its product in another country for much cheaper than they would in their home country. According to the U.S., companies in China has been selling their solar technologies at a very low cost, making it harder for companies domestically to compete. 

To fix the issue, the U.S. assigned tariffs to Chinese and Taiwanese solar panels in 2014, increasing prices by 50%. Chinese companies, though, may have used a loophole to avoid tariffs and still get their products into the U.S. by establishing companies in other countries like Malaysia, Thailand, Vietnam, and Cambodia and sending products to the U.S. tariff-free. 

Today, more than 80% of the most popular solar modules come from those four countries. That means most of the panels used on utility sites in the U.S. are primarily coming from Asia, and most likely from a China-based company. In 2018, then President Trump instituted tariffs to increase the cost of manufactured products coming in from those countries. 

Most recently, the U.S. Department of Commerce began looking into solar cell imports from Malaysia, Thailand, Vietnam, and Cambodia to assess whether dumping had occurred, but in early June, President Biden issued an announcement that it wouldn’t impose new tariffs on solar imports for two years. The move is expected to help get utility solar projects across the country back on track as soon as possible. 

Long-term Solar Costs Will Decrease 

Solar is already among the cheapest energy producers available today, but as production costs continue to drop and panel prices become cheaper and more efficient, it could open up more avenues to expand solar systems across the country. 

As recently as 2020, electricity produced by utility-scale solar cost about 5 cents per kWh. The cost dropped to 3.5 cents per kWh in the most optimized regions. The hope is that solar panels become more efficient, while the costs of modules and BOS systems keep dropping. 

So far the trend has held up. From 2010-2020, the cost of a utility PV solar system dropped by more than 80%. Despite a short-term increase in prices due to the pandemic, supply chain issues, and tariff concerns, overall trends show on-site project costs continuing to fall as more efficiencies are found. 

For its part, Sun-Pull Wire is continuously working to revolutionize how PV wire is installed on utility scale systems. Sun-Pull’s cable solution, for example, cuts down on overall labor costs and project time by allowing a team of 3 to 4 people to install 1mW of string PV wire per day. Compared to single wire pulls, Sun-Pull’s PV wire can cut installation times by nearly 80%. 

Faster installation times means more work gets done faster, increasing overall productivity of on-site teams, which helps companies address labor shortages or take on more projects with the labor they have. 

Labor Shortages Are a Threat 

Like many industries, solar energy is also facing a worker shortage. 

Projections for the solar industry are positive, with estimates suggesting 1.5 million people could be employed by 2035, but in 2020 the industry only clocked about 231,000 workers – less than before the pandemic. To meet the Biden administration’s aggressive clean energy goals, it’s estimated that solar companies will need to employ about 900,000 workers. 

With that said, productivity was still up and the hope is that the industry will continue its rapid ascent as more companies come online. As more projects are completed and adding power to the grid, SEIA believes annual growth will stay strong, but is somewhat dependent on the supply chain. Despite a shaky supply chain, the group says there is a lot of demand for solar and it will remain popular in the coming years. 

The U.S. Bureau of Labor Statistics (BLS) agrees. As the country moves away from traditional fossil fuels for energy, the agency says solar, wind, and other renewables will need to step up to fill the gap. 

The industry is also moving quickly to meet anticipated demand. Companies like Sun-Pull are solar innovators, finding ways to create cost savings for solar workers and energy providers. Sun-Pull’s bundled cable solutions allow even inexperienced workers to move more quickly and install PV wire to panels much faster than traditional single-pull methods. 

Faster set-ups mean fewer people are needed on the job site, saving time, money, and manpower along the course of each utility-scale PV wire project. 

Better PV Modules and Outputs Are Coming 

In 2021, utility-scale solar produced nearly 114 million kWh, reflecting nearly 30% growth over the previous year. We expect outputs to keep increasing as more projects are added to the grid. 

This coincides with other advancements in solar technology meant to increase energy production and efficiency. So far, the highest efficiency a solar panel has recorded is 47%, though most solar panels on the market today hover in the 20s. However, multijunction solar cells tend to perform better than other types. 

Increasing efficiency is an important aspect of reaching our energy goals and there are several ways to make it happen. This can be done in a few different ways: 

  • Better thermal management – This will help solar panels perform better in colder environments. 
  • Minimize reflection – This requires non-reflective colors and coatings or using a textured surface to keep prevent solar rays from bouncing. More captured light means more efficiency. 
  • Reducing recombination – Recombination occurs when electrons return to their regular valence band. Companies can reduce recombination by cutting down panel impurities and other defects. 

Where Does Solar Go from Here? 

The goal is for solar energy to eventually replace traditional power plants. While it’s certainly within reach, the industry has some catching up to do. 

Solar PV energy is here to stay. Like wind, the Sun is an ultimately renewable resource that has the potential to create an incredible amount of electricity, especially in areas where the sun shines consistently. It also stands to benefit from continued enhancements, making panels and systems more reliable, efficient, and longer lasting. 

Recent actions, including a moratorium on new tariffs, will go a long way toward making life a bit easier for solar companies. With fewer roadblocks and a slowly improving supply chain, the entire solar industry is poised for massive growth in the coming years. 

We’re excited for the future and can’t wait to be a part of the solar revolution!

Is the U.S. Ready for 100% Renewable Energy?

Posted on by Mike Zimm

Renewable energy has grown by leaps and bounds in recent years. But is the U.S. fully prepared to move forward with a 100% clean energy program? 

In 2021, renewable energy produced about 20% of all utility-scale electricity in the U.S., but only about 2.8% (115B kWh) was supplied by utility-scale solar energy operations, not including the additional 49B kWh generated by smaller-scale solar operations. The number may seem small, but it’s been growing annually and gives people hope that a fully green grid may be possible. 

Two things are clear if you’ve followed the news over the past several years. Fossil fuels won’t be the answer forever, and renewables still have a couple hurdles to jump to pick up the slack. 

The U.S. has some pretty ambitious energy goals, and the Biden administration has hinted that it would like to take steps to move away from traditional fossil fuels. This includes an ambitious proposed plan to reach 100% clean electricity by 2035. 

Though some experts believe it’s possible to hit the goal in short order, more than 60% of our energy is dependent on fossil fuels. It will take more effort, investment, and support to achieve. 

Is the U.S. Ready to Take the Next Step? 

At first glance, it might sound like a loaded question – but the answer may be yes. 

Several high-level studies, including one by Stanford in 2015, believe the United States can ultimately run on renewable energy… just not by 2035. They peg the year at a more realistic and gradual 2050. Though the study has been questioned, inspiration can be taken from it and its methodology. 

This isn’t to say progress isn’t being made in certain states and regions toward a fully renewable future. Rhode Island recently signed legislation into law committing to 100% renewable energy by 2033. The move puts the tiny state at the forefront of the renewable revolution, and it could be the first in the nation to go fully renewable. 

Earlier this year, California also made headlines when the state was powered only by renewable energy. The conditions were perfect, allowing California to produce more energy than it needed using only renewable power. 

The Golden State has proven that renewable, carbon-free, and sustainable energy sources can replace traditional power generation methods like coal and natural gas. In 2019, about two-thirds of the state’s power came from renewable energy systems like wind, solar, hydro, and nuclear. According to one energy manager with the Union of Concerned Scientists (UCS), investing heavily in solar and wind technologies will get us the bulk of the way, up to 90 percent, toward our clean energy goals. 

Why It’s So Hard to Quit Fossil Fuels 

If renewables are the future and everyone is scrambling to become the first to be rid of fossil fuels, how come we can’t seem to make it happen more quickly? 

The problem is that despite all of the pollution and the trouble we go through to use fossil fuels, they’re energy-dense and efficient forms of energy production. This means they produce energy at a higher rate than other forms of energy, including wood and biomass. 

Although oil isn’t typically used for electricity production, natural gas and coal are high-energy generators. They can pick up the slack on days the wind doesn’t blow and clouds block the sun’s rays from hitting solar panels. 

Even on that record-breaking day when California produced all of its electrical needs using renewable energy, fossil fuels were working behind the scenes. Fossil fuel power plants take hours to come online, so it’s easier to keep them running than risk not having enough power during peak use hours. 

How Do We Make the Move to 100% Renewable Energy? 

The easiest way to increase the adoption of renewable energy is to continue investing in it. 

This means investing in more green technology, including increasingly efficient solar panels, better wind turbines, and innovative batteries that can store generated electricity for longer. Part of the equation to reach a fully renewable future involves “overbuilding” the electrical grid, meaning we build enough infrastructure to supply more energy than we need. 

Some projections spot the number at about 2.5 times the total energy demand to ensure we cover all the bases. That growth means utilities and companies must invest in solar and wind energy, requiring more workers, materials, and space to build. 

Another issue we’ll have to tackle soon is energy storage. Wind and solar are variable energy producers, meaning the amount of electricity they produce relies on several factors. On perfect days, harnessing all the excess energy produced and effectively storing it can go a long way toward a clean energy grid. 

Recently, researchers in Finland have created a device that allows low-grade sand to store heat energy for months. The heat energy is used to warm homes and even a local swimming pool. The storage system isn’t as efficient when turning heat into electricity, but could potentially be improved to meet rising energy demand with low-cost solutions. 

Ensuring Workforce is Ready 

Amid a labor shortage, companies across many industries find it tough to attract enough workers to keep operations running smoothly. Electricians, in particular, are in high demand, making it even tougher to attract and retain talent. 

Sun-Pull Wire is one of many companies on the edge of innovation, developing products like bundled wire systems that can be installed quickly and save up to 80% of the installation time of string PV, helping with labor shortages and enabling DC installers to take on more projects. 

The Government Needs to Step Up 

If the U.S. wants to rely on renewable energy sources to power the country, support has to come from the top. 

The Biden administration took a big step forward by suspending solar tariffs for two years against four Asian countries, including Cambodia, Thailand, Vietnam, and Malaysia. In another encouraging step, the government recently lifted solar tariffs on goods coming in from Canada, a move made in 2018. 

Without the tariffs, utilities can import solar panels and other components at a lower price and reduce the number of delays and cancellations. Fewer tariffs also allow the installed solar capacity to continue growing at a healthier rate. 

Unfortunately, tariff concerns did have an impact on the market. The Solar Energy Industries Association (SEIA) reported in its Q2 2022 insights that about 18 GWdc worth of projects were put on hold for at least a year. Another 450 MW was outright canceled. 

Reduced tariffs aren’t all rainbows and butterflies, though. U.S. solar manufacturers may find it harder to compete against low-cost imports, claiming it as a disadvantage. On the other hand, utilities and other companies gain access to affordable panels, spurring the country toward its renewable energy goals. 

Ready to Learn More About Solar?  

Sun-Pull is ready to support a cleaner, renewable future with simple-to-use PV wire solutions. 

Our knowledgeable team of solar experts is ready to answer your questions and get the right products into your hand as fast as possible with the shortest lead times in the industry. The Sun-Pull team is ready to support you from start to finish, including blueprint analysis, product help, and decades of solar experience. 

Contact us today to see how we can get your utility-scale solar project off the ground quickly and cost-effectively.

Rhode Island Sets Stage for 100% Renewable Energy

Posted on by Mike Zimm

Rhode Island may be the smallest state in the nation, but it is making a big splash regarding the future of green energy in the United States. 

On June 29, 2022, Governor Dan McKee signed legislation that puts the Ocean State on pace to be the first in the U.S. to reach 100% renewable energy. The law requires that by 2033, 100% of the state’s electricity be offset by renewable energy. Although the law doesn’t prevent using fossil fuels for energy production or use, they will be offset by clean energy sources like wind, solar, and geothermal. 

According to Gov. McKee’s office, the new law is expected to create thousands of new jobs while cutting the cost of renewable energy across the state. 

“We’ve seen a 74% increase in green jobs since 2014, and that trend is going to continue as we deepen our commitment to renewables,” State Rep. Deborah Ruggiero said in a statement. Ruggiero anticipates thousands of new jobs to come online to support renewable energy sources that will come online over the next several years. 

Blueprint for Success: Incremental Increases to Reach Renewable Goals  

If Rhode Island wants to be the first to reach 100% renewable energy, it needs to invest in emerging forms of electricity production. This will likely mean leaning more into geothermal energy, wind energy, and developing solar energy systems that take efficiency to another level. 

One way to encourage more renewable energy is by turbocharging green initiatives. Under previous state laws on the books, the state was annually increasing the percentage of renewable energy generated by 1.5 percentage points. Under the newly signed law, the number picks up speed each year until reaching a 100% Renewable Energy Standard in 2033. 

 According to the law, the Renewable Energy Standard percentage will increase by 4% in 2023, jumping by one percent annually through 2026. The increases then become smaller, staying flat in 2027 and then rising by a half percent each year through 2032. 

So, how does the new law work? Each year, utilities must buy renewable energy certificates for a certain percentage of power sold annually. These certificates help offset the amount of energy produced and sold by traditional fossil fuels in the state. Besides the certificates, the law also leans on renewable energy producers to up their production using everything from solar energy technologies and offshore wind to hydroelectric facilities and other sources. 

What Does Energy Look Like in Rhode Island Today?  

It might seem like a lofty goal for any state, but Rhode Island has an opportunity to make some waves. 

U.S. Energy Information Administration (EIA) data suggests Rhode Island uses the least energy per capita in the U.S. The state also produces about 90% of its current electric supply using natural gas, the highest percentage in the nation. Only about 12% of the state’s energy came from renewables, with half coming from solar panels. 

While it’s encouraging to see such an aggressive clean energy law on the books, there is certainly work to be done. In March 2022, for example, Rhode Island’s renewable energy production reached about 79k MWh, a far cry from the 478k MWh produced by its natural gas-fired plants. 

The data paints a picture of a state in transition. Renewables aren’t a major energy producer in the state yet, but current production is still four times more than it was in 2018. Rhode Island is also an environmentally conscious state, pumping out the second-lowest CO2 emissions in the nation, only behind Vermont.  

Solar Goals in the U.S.  

Rhode Island is not the first state to push for a 100% renewable future. California was among the first to lean into clean energy, but states on both coasts are now getting involved using the blueprints laid out by early adopters. 

It will take years to wean ourselves from fossil fuels – it also won’t be likely to turn our backs on such efficient forms of energy. Thankfully, renewables are rising in popularity, and their efficiency is expected to increase as innovations are achieved. 

The improvement isn’t hard to see, either. In 2021, renewable energy sources totaled about 20% of U.S. electricity; it could increase due to recent tariff exemptions enacted by the Biden administration. The two-year exemption is expected to keep several upcoming solar projects on track while reducing the number of delays and cancelations over the next 18-24 months. 

Companies like Sun-Pull Wire are also ready to do their part to ensure the solar industry grows as quickly as possible. This means producing solar photovoltaic (PV) bundled wire systems that are easy to install, simple to use, and can be done using fewer workers to address labor shortages or take on even more projects. 

Ultimately, the goal is to make widespread utility-scale solar arrays a possible and affordable option throughout the United States.  

Rhode Island’s Investment in Renewables is Important  

Yes, Rhode Island is a small state, but being successful could prove that fully renewable energy is no longer a pipedream. It’s a tangible goal that can be reached with radical transformation and aggressive building toward the finish line. 

The law is aggressive but also puts Rhode Island on the cutting edge of the renewables curve. Their commitment to green energy is launching it ahead of other states like California, New York, and North Carolina. 

It should come without saying that the solar industry is excited to see what a renewable future looks like. We’re ready for whatever might come next and excited to help serve everyone’s solar needs today, tomorrow, and for years to come!

What is Renewable Energy? How Does It Work?

Posted on by Mike Zimm

Renewable energy is becoming a big business.

According to the United States Energy Information Administration (EIA), Americans used nearly 4 trillion kilowatt-hours (kWh) in 2021. From computers and televisions to machines and heating/cooling systems, businesses and homes heavily rely on electrical power.

The lion’s share of our electricity comes from burning fossil fuels like petroleum and natural gas. These two sources alone made up about 69% of all U.S. energy consumption in 2020. Other energy sources, like coal, have seen their use begin to scale back for cleaner options like wind and solar.

Emissions and greenhouse gases produced by traditional fossil fuel burning are associated with negative impacts, including smog, environmental issues, and health problems. As a result, organizations like the Global Commission on the Economy and Climate have suggested the world cut back on emissions by 2030 or risk losing its grip on global warming.

The rise of clean energy has been happening for decades, taking on greater importance as an affordable, cleaner, and sustainable form of energy compared to finite fuels like coal and petroleum. As companies continue refining alternative energy production techniques, more renewable energy sources will come online, reducing our reliance on traditional sources.

What Are Renewables?

Renewable energy has been around for many years, starting thousands of years ago with the use of wood. However, other modern renewable fuels have found their footing in more recent years.

In the middle of the Second Industrial Revolution in the United States, renewable fuels became more available, beginning in 1880 with the first hydropower electric plant in Grand Rapids, Michigan. Since then, renewable energy sources have improved with increased research development and application.

Today, renewable energy includes everything from biomass and water to wind, solar, and geothermal options, accounting for about 20% of electricity generated in the U.S. in 2021. The percentage will likely keep growing while we look for better and more sustainable ways to produce electricity without relying so deeply on finite fossil fuels.

For now, America has several excellent renewable energy options to help it cut emissions and maintain current power generation levels.

Biomass

Biomass energy comes from plant and animal matter – everything from wood and agricultural feedstock to manure, sewage, and even biogases captured at dairy farms and landfills.

Wood, by far, was America’s largest energy supplier through much of the 1800s. In more recent years, we’ve been able to create a lot more electricity from biomass, including capturing biomethane to use as renewable natural gas. Ethanol, another type of biomass fuel, is used in gasoline. Fatty acid methyl esters (FAME) help make biodiesel.

Biomass options aren’t as efficient as traditional fossil fuels, and they aren’t as clean as wind or solar energy. Still, they provide a renewable option that reduces reliance on traditional methods. There is no shortage of garbage, plant, and animal waste, meaning biomass is an ultimately renewable resource that could improve our environment.

Hydropower

Hydropower uses the natural movement of flowing water to create electricity for use.

Water falls into a dam’s penstock pipes and goes through a turbine. As the water moves through the turbine, it spins, sending energy to a generator that produces kinetic energy that gets converted into electricity. Facilities rely on the constant flow of water through these systems to create electricity 24/7 and can pump water back into the reservoir to recycle it during peak hours.

Ultimately, water is a renewable resource that can meet increased short-term demand quickly and doesn’t use or destroy any materials to create power. On the downside, dams can alter the environment and change the natural flow of rivers, are expensive to set up, and are somewhat beholden to the weather for their production.

Geothermal

Geothermal electricity uses the power of steam created from underground reservoirs to turn a turbine. Like hydropower, the turbine connects to a generator that produces electricity for use.

An energy company will drill into hot spots under the Earth’s surface, then pump water through the installed pipes back into the facility. Once in the facility, the hot water turns into steam with enough power to turn a turbine. This process occurs 24/7/365 and is generally predictable and easy to plan. Many geothermal plants also use a closed-loop system that allows water to be pumped back into the ground to keep the process going.

Geothermal energy is an eco-friendly option when managed correctly. Luckily, the Earth is constantly generating heat, so as long as non-potable water is added to replace what’s lost to steam, it’s possible to keep the plant going. On the downside, plants are expensive to establish and can cause earthquakes due to drilling. Plant locations may also have higher earthquake frequencies, but moving the plant further away from fault lines can reduce the risk.

Wind Power

Wind energy involves gigantic turbines placed in areas where the wind blows frequently. As the wind blows, blades attached to an electric generator spin, converting kinetic energy into electricity.

Environmentally friendly wind turbines generate electricity from an ultimately renewable resource, provided the wind blows. It’s also a low-cost and space-conscious way of producing energy that has the potential to grow in areas where the likelihood of wind blowing is high.

However, the turbines are tall, create some noise, and can turn off some people who want a wide-open view of the countryside. They also pose a risk to birds and bats that may get hit by the blades as they spin and could impact habitats if they’re carelessly site planned.

Solar Power

Solar energy technologies have come a long way in a short amount of time, allowing them to expand across the United States. Photovoltaic (PV) panels convert sunlight into usable electricity through PV cells by exciting electrons. The movement in the electrons creates direct current (DC) electricity which is sent to an inverter through specialized PV wires designed to withstand outdoor conditions. The inverter converts the DC electricity into alternating current (AC) power, then sends it to the grid.

Although concentrated solar arrays can be expensive to establish, they have a low cost to maintain once completed. Solar may also be capable of powering the entire country with some strategic panel placement. According to the Office of Energy Efficiency and Renewable Energy, it would only take about 22,000 square miles of land to power the entire country. Technology is constantly improving, so that number may drop further as more efficient panels and delivery methods come online.

Solar arrays can take up a lot of space but typically pop up in areas where development or farming aren’t feasible. These locations get exposed to a lot of sunlight, allowing the panels to collect solar radiation even on cloudy days.

There is also the potential to produce even more electricity through bifacial solar cells. These panels collect sunlight on both sides, making them more attractive in areas where snow or other materials can bounce radiation onto their undersides.

Why Renewable Energy Makes Sense

Renewables will take on a more critical role in our energy plans in the coming years.

Fossil fuels may be efficient energy producers, but they’re a finite resource. They also tend to be dirtier forms of energy production when compared to renewables like solar, wind, and water. As the world works toward reducing its reliance on fossil fuels, renewables will need to pick up the slack to maintain the same level of production.

However, the push for more renewable energy also coincides with the United States’ goal of producing 100% carbon pollution-free energy by 2035. Outside of simply being cleaner, renewable energy sources like solar and wind are less expensive to support and maintain over time, more economical energy producers, and will become more affordable over the years. From a safety and security standpoint, renewables can create a network of decentralized microgrids that may reduce the chances of a mass blackout during a natural disaster or a terrorist attack.

The U.S. is already working toward its 2035 goal. In 2021, about 23.6 gigawatts worth of solar energy were installed, totaling 121.4 gigawatts – enough electricity to power more than 23 million homes.

The Future of Renewable Energy

We’re starting to pull away from fossil fuels, but they are still an integral part of the current energy landscape and likely will be for a while.

Renewables are showing sustained growth, with solar comprising nearly 4% of all U.S. electricity produced. Installations are moving more quickly, and advancements in solar technology, down to the PV wire used to connect the panels to the combiner, or junction, box.

Sure, there is still a lot of work to do to get solar, wind, and other renewables to the level fossil fuels have been at for years. But it comes with the success of knowing the electricity generated is cleaner, more affordable, and nearly infinite.