In the wake of the 2016 presidential elections, there’s been endless speculation on what the future of solar energy will look like in America.
With President elect Trump soon at the helm of our country’s clean energy policies, it doesn’t seem like over reacting to assume the worst–to envision an America where oil derricks, pipelines and fracking operations spread from coast to coast like a black mold and renewable energies like solar and wind are all but consumed in smog choked inferno.
After all, this is the same candidate who is on record claiming that climate change is a hoax, who has a trail of legal battles with environmental groups over constructing his hotels and golf courses and whose lead choice for the head of the EPA is fellow climate change denier Myron Ebell.
But in spite of these dangerous patterns by our soon to be leader in chief, many analysts believe the renewable energy sector will continue to grow remain on its path to overtaking the fossil fuel industry, and here’s why:
- THE STATES HAVE SPOKEN: Donald Trump has made it no secret that while he doesn’t care much for environmental policies, he has an even less favorable view on federal oversight. That means that while his administration will be seeking ways to lesson the federal government’s role in promoting clean energy, states will be given more leeway to create and enforce their own clean energy policies. If this election has given any indication as to which direction these policies might trend, a look at the promising outcomes on propositions in Florida and Nevada, might give reason for some guarded optimism. In both states the controlling utility companies spent millions of dollars and fought hard to decrease subsidies to homeowners seeking solar only to be defeated on the ballots.
- THE COST OF SOLAR IS DECLINING: While sound bites and video clips have inundated our lives with politicians making bigger than life promises regarding the future of energy in America, the truth is that at its core, the energy sector is controlled by market forces and consumer demand–and there’s nothing more enticing for a consumer than paying less for a superior product. Over the past two decades the cost of energy per a KW hour from solar has been on a rapid decline and will win on its own merits (especially with current incentives, but even without). Utilities around the country have been shuttering coal plants in favor of cheaper energy alternatives and it’s no accident that the solar industry has overtaken the coal industry in the number of people it employs.
- FEDERAL SOLAR INVESTMENT TAX CREDITS ARE ATTAINABLE UNTIL 2019: A 30 percent tax credit for a renewable energy system is nothing to sneeze at. While the Solar Investment Tax Credit was on course to phase out this year, bipartisan deal making extended the 30 percent rate to 2019, eventually phasing it out to 26 percent in 2020, 22 percent in 2021 and 10 percent in 2022. And here’s the good news–once you get approved for the tax credit, you have it! Because the credit was created by a bipartisan action and not a unilateral executive action, it has little chance of being overturned. While the long term future paybacks from solar might be uncertain, current paybacks and incentives–many of which can be locked in–are likely as good as they’re ever going to get.
Contact GoGreenSolar.com or call (888) 338-0183 to learn about locking in great incentives and switching over to solar before policies change.