US solar developers take on module manufacturing risks

Multiple deals over the last six months have shown that solar panel manufacturers are using long-term solar module supply agreements with developers to drive factory finance.

From pv magazine USA

Since the signing of the US Inflation Reduction Act (IRA), more than 10 companies have announced between 50 GW and 80 GW of solar silicon, wafer, cell and module manufacturing capacity in the United States.

The Solar Energy Industries Association’s (SEIA) roadmap optimistically targets 50 GW of solar module manufacturing capacity. As a result, some analysts see the potential for the USA to emerge as a strong export market for solar panels.

This is hard evidence that just a bit of refined industrial policy – the IRA, in this case – can have a massive impact on local businesses and national security. One new development is the participation of solar developers in solar module assembly factories. Their involvement is motivated by the need to secure module capacity, while meeting the “Made in America” criteria for products. Meeting this criteria is important, because projects that meet the requirement are eligible for the Inflation Reduction Act’s 10% Investment Tax Credit adder.

To continue reading, please visit our pv magazine USA website.

This post appeared first on PV Magazine.

Share This Post