Connect with us

Hi, what are you looking for?

CleanTechnica

Clean Power

IHS Predicts US Solar Installation Boom To Continue, Growing 60% In 2016

After the successful extension of the US Investment Tax Credit, the US solar industry is expected to increase 60% in 2016.

Analytics firm IHS has released new figures which predict US solar PV installations to grow 60% year-over-year, with an expected 15 GW installed in 2016. A strong demand for utility-scale solar PV will drive growth in 2016, and will be boosted by the multi-year extension to the much sought-after Investment Tax Credit (ITC), which was announced in the middle of December.

“The extension of the tax credit relieves pressure on the industry to complete projects ahead of the 2016 deadline and breathes new life into the US solar industry,” said Camron Barati, North America solar analyst for IHS Technology. “Many feared the solar industry in the United States, which has experienced tremendous growth over the last several years, might collapse in 2017 without an extension of the ITC.”

With the extension of the ITC — as well as the Production Tax Credit — the entire US renewable energy industry is expecting strong growth over the next several years.

IHS-20

This is nowhere more obvious than in the US solar PV industry, which currently has a 50 GW pipeline of commercial and utility-scale solar PV projects expected to come online during 2016 to 2019. All solar PV segments are expected to benefit somewhat from the extension to the ITC, but utility-scale PV will benefit for most, and according to IHS will account for over half of newly added capacity between 2016 and 2019.

“Residential and commercial PV will experience sustained growth through the forecast period,” Barati said, “but mounting pressure from utilities to revise retail net metering rates and the falling cost of  large-scale generation will limit growth opportunities in the U.S outside of well-established state markets.”

IHS is predicting that the country’s PV market will decline in 2017 by approximately 30% due to lower demand for utility-scale PV. However, the good news is that following 2017, demand is expected to grow through the remainder of the forecast period.

Of particular interest, though, is that the Northeastern region of the US is not expected to suffer any decline in PV demand, due to a lower reliance upon utility-scale PV and a higher proportion of residential and commercial solar PV demand.

 
Appreciate CleanTechnica’s originality? Consider becoming a CleanTechnica Member, Supporter, Technician, or Ambassador — or a patron on Patreon.
 
 

Advertisement
 
Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Written By

I'm a Christian, a nerd, a geek, and I believe that we're pretty quickly directing planet-Earth into hell in a handbasket! I also write for Fantasy Book Review (.co.uk), and can be found writing articles for a variety of other sites. Check me out at about.me for more.

Comments

You May Also Like

Clean Power

New Report Shows Solar Energy Rapidly Expands, Generating More Electricity in 2035 than All Homes Consume Today and Creating Economic Opportunities Across America

Cars

Originally posted on EVANNEX. By Charles Morris In this day and age, just about everyone who’s paying attention — even stalwarts of the auto and oil...

Clean Power

This year is the start of another key period in China’s development of its solar PV market, IHS Markit reports. 2021 is the first year...

Batteries

Another week has flown by and we’ve got another roundup of our top (most popular) stories of the week. This past week, the interest...

Copyright © 2021 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.