It looks like Joe Biden is going to be the next President of the United States. Most people understand that while Republican policies tend to favor established fossil fuel industries such as oil and gas, a Democratic platform is going to lean toward more clean and sustainable energy, and that is good news for anyone wanting to invest in solar energy for their home or business. Of course there are other factors involved such as Congressional legislation, state governments and local utilities, but we look to see a very solar-friendly administration in the White House for the next four years. What does this mean for the consumer? Here are a few things we are anticipating from the new President.
1. Lessening the Trump trade tariffs. Over the past four years, the Trump administration levied heavy tariffs on imports in an attempt to level the playing field for American industry. However, since so many solar panels, batteries and other components are made overseas, this escalated the price of solar power after it had been dropping for years. Thankfully, there are more and more American companies that are manufacturing solar components as well now. If Biden follows through with his promise to lower these tariffs on foreign goods, we could see a drop in the price of solar energy for your home or business.
2. EPA reform. President-elect Biden has vowed to increase to the strength of the EPA to reform environmental protections in the states. These regulations could include things like retiring out-dated, high-pollution power plants and increasing the emissions standards for vehicles. These moves could raise electricity demand which would increase pricing for conventional utilities and incentivize new residential and commercial solar development
3. Solar ITC’s. The Solar Investment Tax Credit was started in 2006 to incentivize residential and solar development. Since that time, America has seen an average annual growth of 52% a year in solar usage. In the last month, Congress has voted to extend the 26% ITC for an additional two years through the end of 2023. A clean-energy friendly administration could be willing to extend incentives like the ITC which would make solar energy more accessible for the general population.
These are just a few examples of Joe Biden’s platform that speak to clean energy alternatives. One of the President-elect’s campaign promises was to work toward total renewable energy for America by 2035, and there are many who are hoping that he will fulfill that promise. Feel free to contact your representatives at Quantum Solar of Texas (a Native Solar dealer) with any questions about federal tax incentives or the affordability of solar energy for your home or business. We would love to hear your thoughts or questions, so feel free to comment below or subscribe to our weekly blog!