The United States installed a record-breaking 50GW of new solar capacity in 2024, new figures show.
It is the largest single year of new capacity added to the grid by any technology in over two decades.
Solar and storage account for 84% of all new capacity added to the US grid last year, according to the US Solar Market Insight 2024 Year in Review report.
The report was released by the Solar Energy Industries Association (SEIA) and Wood Mackenzie.
In addition to historic deployment, surging US solar manufacturing emerged as a landmark economic story in 2024.
Domestic solar module production tripled last year, and at full capacity, US factories can now produce enough to meet nearly all demand for solar panels in the United States.
Solar cell manufacturing also resumed in 2024, strengthening America’s energy supply chain.
SEIA president and chief executive Abigail Ross Hopper said: “Solar and storage can be built faster and more affordably than any other technology, ensuring the United States has the power needed to compete in the global economy and meet rising electricity demand.
“America’s solar and storage industry set historic deployment and manufacturing records in 2024, creating jobs and driving economic growth.
“It’s critical that lawmakers continue to support an ‘all of the above’ energy strategy that fosters the growth of American energy sources like solar and storage.”
Total US solar capacity is expected to reach 739GW by 2035, but the report forecasts include scenarios showing how policy changes could impact the solar market.
Sudden changes to federal tax credits, supply chain availability, and permitting policy would create uncertainty for investors, increase costs for developers and manufacturers, and cause a slowdown in solar deployment, the report warned.
The low-case forecast shows a 130GW decline in solar deployment over the next decade compared to the base case, representing nearly $250bn of lost investment.
A slowdown at this scale could leave the US without the electricity needed to meet rising demand, threatening growth in the manufacturing and technology sectors that rely on abundant power.
“Last year’s record-level of installations was aided by several solar policies and credits within the Inflation Reduction Act that helped drive interest in the solar market,” said Wood Mackenzie’s principal analyst for North America utility-scale solar Sylvia Levya Martinez.
“We still have many challenges ahead, including unprecedented load growth on the power grid.
“If many of these policies were eliminated or significantly altered, it would be very detrimental to the industry’s continued growth.”
Texas led all states for new solar capacity additions last year, replicating a record-setting 2023 with 11.6GW of new installations.
In total, 21 states set new annual installation records, and 13 states added over 1GW of new solar capacity in 2024.
The utility-scale segment saw historic gains in 2024, growing by 33% year-over-year with a record 41.4GW of installed capacity.
The community and commercial solar markets also set annual records, growing by 35% and 8% respectively.
