by MARIA TEDESCO | The National News Desk
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WASHINGTON (TNND) — The solar energy industry is navigating changes in the U.S. energy market following shifts in federal energy policy under President Donald Trump.
In 2025, legislation backed by the Trump administration ended the Solar for All program, which had provided federal grants for residential solar projects. A federal solar tax credit that had been in place for nearly two decades also expired.
Energy Secretary Chris Wright argued that integrating renewable energy into the grid increases overall system “costs."
“If I'm going to get all of my electricity from these sources [nuclear, natural gas, oil] right, I could just run the same grid I have today, get rid of all of the wind and solar, all the transmission capacity,” Wright said about the power solar panels produced during a recent press conference at the Department of Energy.
Vice President of Solar Access and Affordability at Solar United Neighbors, Yesinia Rivera, said her organization was ready to go with the contracts and workers for the $7 billion program in 2024. But then she said it got “yanked.”
Rivera said her organization began reassessing how to continue projects on a smaller scale. She added that over the years the solar energy was forced to adapt to a boatload of changes, and it will continue to survive.
“So we're trying to work on a smaller scale, how do we get creative?” she said. "And still find a way to subsidize these projects and, you know, I mean, the majority of Americans are spending way too much money on their energy bills.”
The solar industry remains focused on affordability even as federal priorities shift.
Staying with the industry’s messaging, the Department of Energy website states this when referring to the switch to solar: “financial returns and lower monthly utility bills are major incentives for going solar.”
The website added that switching to solar can increase the value of your home over time.
The Department of Energy states on its website that “financial returns and lower monthly utility bills are major incentives for going solar,” and notes that solar installations can increase home value over time
Rivera said she still talks to clients who went through the Solar for All program more than five years ago, who are relieved with the money they are saving.
“They will mention how they don't have to worry about turning the air conditioning on in the summer when it's boiling hot, and they don't have to pick between their health and their energy bill, because they have solar on their roof,” Rivera said. ”People think it’s like, ‘Oh, just saving money,’ but it's not having to make those difficult choices between turning on your AC or paying your bills that month or buying your medication that month. So, it can make a big difference.”
Critics of federal incentives argue that subsidies shift costs to taxpayers and non-solar customers.
The Solar for All program wasn’t the only initiative affected. A solar tax credit that had been in place for nearly twenty years was eliminated. And a 30% tax credit for solar installation, which was a component of former President Joe Biden’s Inflation Reduction Act, also expired.
The loss of the tax credit could reduce the financial incentive for some homeowners to install solar systems.
From installing to designing solar systems, Anthony Colella, Vice President and Solar Division Manager at Edge Energy, worked in the industry for almost two decades. Edge Energy is a Washington, D.C.-area-based solar company.
“A lot of consumers who were really excited about buying solar last year, either pulled the trigger and did so, or have maybe the incorrect assumption in their mind that it no longer makes sense without the tax credit, but they're not excited to do it in January, or February, March, after it just ended,” Colella explained.
Now, Colella must put a bow on the rush of installation after customers hurried to take advantage of the fleeting tax credit.
“January, February is always slow, and solar has been since I started back in 2009,” Colella said. “And we're still, you know, doing a whole bunch of punch lists, finishing systems that we didn't quite get done last year.”
Although the year started slowly, he only expects growth to go forward because rebates from individual states are still available.
But that depends on where you live, said Bob Soule, a head coach at Go Electric DMV who teaches classes on how to electrify your home in the Washington, D.C. area.
“The rebates were implemented through the states, and those are hypothetically still going to be available, but it depends on the state,” Soule said.
For example, New York has some of the most generous benefits. When switching to solar, savings could be as high as $7000 in a combination of incentives, according to online energy marketplace energysage. But other states, such as Arkansas, have no rebates available.
Colella said he accepted the challenge of no more help from the federal government. As both the Department of Energy website and Colella mentioned, solar adds value to the home over time.
“I think that losing the 30% federal tax credit is emotionally a bummer, and it will continue for some period of time, and be a hard one for consumers to get over,” he said. “It adds value to your home, which is most people's most valuable asset. And it's and all the clean energy stuff still applies.”
Administration officials have said their focus remains on grid reliability and lowering energy costs through expanded domestic fossil fuel production.
