On August 15, 2023, the Solar Energy Industry Association (SEIA) of the United States released a latest analysis report, stating that since the Inflation Reduction Act (IRA) was passed a year ago, American solar and energy storage companies have announced that they have received over $100 billion (approximately 729.7 billion yuan) in private sector investment.
The report points out that the solar and energy storage manufacturing industry in the United States is currently rapidly developing, with 51 solar manufacturing plants announcing their establishment or expansion in the past year.
Abigail Ross Hopper, President and CEO of SEIA, said, "The unprecedented surge in demand for clean energy manufactured in the United States clearly indicates that the clean energy incentives enacted by Congress last year are working.
This law is a shining example of how sound federal policies can drive innovation and private investment into the communities most in need. We are releasing abundant clean energy, which is creating job opportunities and providing affordable and reliable electricity for every household and business in the United States
These new and expanded solar factories will bring nearly $20 billion in investment to the American community and bring 155GW of new production capacity to the entire solar supply chain. These announcements include 85GW of solar modules, 43GW of solar cells, 20GW of silicon ingots and wafers, and 7GW of inverter production capacity.
By 2026, when these announced factories are put into operation, the production capacity of the United States in the fields of components, batteries, silicon wafers, silicon ingots, and inverters is expected to reach more than 17 times the current level, sufficient to supply most of the expected solar projects in the United States.
The report estimates that due to the approval of the IRA, the US solar and energy storage industry will create 137000 new job opportunities in the next decade, and it is expected that by 2033, the total number of jobs in the industry will increase to nearly 500000.
Last year, it was announced that the solar manufacturing plant would hire over 20000 employees. According to the SEIA report, the labor force in the solar manufacturing industry in the United States will double in the next decade, with over 100000 job opportunities.
Of course, although there is so much information about factory construction announced, analysts say that the United States will find it difficult to meet its demand solely from domestic supply in the coming years, and the speed of production capacity deployment remains to be seen, especially with the end of Joe Biden's anti-dumping duty exemption, which will impose heavy taxes on many Southeast Asian products starting next year.
In addition, it has been announced that the energy storage capacity of the 14 newly built or expanded factories will reach 65GWh. Since the adoption of the IRA, over 3GW of large-scale energy storage new projects have been deployed, and an estimated 100000 users have installed household solar systems that are compatible with battery energy storage.
By 2033, the solar power capacity of the United States is expected to reach 669GW, sufficient to power every household east of the Mississippi River. The reduction in solar energy emissions accounts for approximately one-third of the total electricity industry emissions in 2021.