From Yahoo Finance: 2025-05-24 08:00:00

The US residential solar market faces turmoil as the House bill threatens to strip tax credits, potentially devastating the industry. Solar executives are banking on moderate Republican senators to oppose the bill, which could lead to job losses and economic upheaval.

The industry has already been struggling due to high interest rates, reduced state incentives, and tariffs on imported equipment. The US International Trade Commission voted to impose tariffs on solar equipment from Southeast Asian countries, further complicating the situation for solar companies.

If the federal tax credits are eliminated, residential solar installations could drop by 18% over the next decade. Solar companies like Sunrun have seen their market value plummet following the release of the House bill, with executives warning of dire consequences if the legislation passes.

Installation companies, particularly smaller operations, could face severe repercussions if tax credits are removed. The loss of tax credits for solar leasing, which accounts for the majority of new installations, could be particularly damaging, leading to job cuts and economic challenges in the industry.

Solar industry leaders are gearing up for a lobbying push in the Senate to change the legislation, fearing widespread job losses and economic disruption if the bill passes. The American Clean Power Association is urging the Senate to reject the House bill and pass a more reasonable energy policy for the American people.

Read more: Fate of $20 Billion US Home Solar Market Lies in GOP Senate Hands