White House Postpones Solar Component Tariffs
Renewable Solar Resources, from the beginning, felt Solar Power is an important energy resource in the United States. As more business and homeowners convert their sites to run on solar energy, we become less dependent on fossil fuels to power our work and homes. That is why concerns over the solar component tariffs grabbed our attention.
Previously Announced Tariff
Unfortunately, the white house previously announced a tariff on solar power component imports. The majority of solar power materials are still being made in China. That meant the solar component tariff would spike prices as the US committed to an aggressive renewable energy conversion by 2030. With the tariff in place, the US was unlikely to meet those goals. Additionally, many homeowners held off making the decision to convert to solar power, fearing higher conversion costs.
The New Plan Delays Solar Component Tariffs and Boosts Domestic Production
It looks like the tide has turned. On June 6, the white house announced plans to use the Defense Production Act to increase domestic production of clean energy technologies. The plan includes solar panels and their components, and it postpones solar component tariffs on imports for another two years. Meanwhile, the Federal government must also develop plans to buy domestically produced solar products.
The plan is to build up domestic solar panel component production and eliminate supply chain issues, without locking up the industry by tariff induced price hikes. Stateside solar panel manufacturers are not happy, but consumers can feel relieved along with their solar installer companies.
What it Means For Solar Customers
Prices will hold for another couple of year. That piece of good news combined with the active 26 percent tax credit for solar power conversions completed this year is bringing smiles to homeowners on the fence.
Developing Healthy Domestic Solar Manufacturing Base
The Solar Energy Industry Association (SEIA) already issued a statement praising the measures, expressing relief at mobilizing the frozen solar supply chain. The White House’s aggressive approach will not only free up the solar industry to help solar conversions once again, but it will help create a robust domestic solar manufacturing base.
Solar is an Important Clean Energy Resource
Some activists want more renewable industries included, but solar power has always been central to Bidens Zero emission plan. The goal is 50 percent reduction in greenhouse gas emissions by 2030 and zero emissions by 2050. Moreover, the White House sees the future of solar energy as a large part of its de-carbonization commitment. A Solar Futures Study by the U.S. Department of Energy cited a goal of 40-44 percent of electricity sourced to solar power.
Prices Still Great, Solar Conversions Still Save Consumers on Energy and Taxes
What is amazing in this solar component tariff fight, is that this time, the consumer wins. Renewable Solar Resources says it is still a great time to make the transition to solar energy. Solar panels, SolarEdge optimization and solar storage continue to become ever more efficient, making solar an extremely affordable choice.
Add to that the financial opportunity. The tax credit can save you up to 26 percent, and the solar component tariff is postponed for another two years. Now is a great time to contact your Renewable Solar Resources rep to get your free site solar analysis. Remember, the savings begin the moment your system is installed. You do your patriotic duty, plus you save big on electricity bills and taxes.