Trends Shaping the Solar Industry in 2022

Since the mid-2000s, solar energy has been a rapidly rising business in America and worldwide

FREMONT, CA: The concept of harnessing solar energy dates back to at least the seventh century BC, when people used magnifying glasses to light fires. A combination of sunlight and mirrors was used to light torches within four centuries. Ships were equipped with sun ovens for extended voyages by the late eighteenth century.

In the 1880s, scientists began developing selenium-based solar cells. Bell Labs, the research outfit that played a pivotal role in current computer technology, developed the first silicon-based photovoltaic (PV) cells in 1954. Solar panels were originally used on satellites during the NASA space race in the late 1950s.

For several decades, the primary issue with solar energy was its low efficiency, which made it difficult to capture a large portion of the sun's energy with solar panels. For instance, Hoffman Electronics enhanced solar efficiency from 8 percent to 14 percent between 1957 and 1960. By the mid-1980s, it had risen to 20 percent, and by 2022, it had risen to 33.3 percent.

Even while most Americans want solar power, only around half of them are prepared to pay for it, which is why the federal government's 30 percent tax credit for solar power is so important to the industry until 2022. Demand for solar energy will continue to rise as more businesses adopt it and report reductions in energy costs. Until at least 2022, homeowners will be able to claim tax credits for installing solar panels. Residential solar installed capacity reached an all-time high of 71.3 GW in Q3 2019, enough to power 13.5 million homes. California's new rule requiring solar panels on most new homes and buildings will further stimulate the solar industry. Solar installations will continue to grow across all market categories through 2022, particularly among non-utility enterprises and developers pursuing federal tax credits. Fortune 500 firms' pioneering energy investment approaches will continue to attract large investors. Numerous conventional energy businesses will diversify their portfolios to include renewable energy. European developers have paved the way for a stronger solar presence in the United States. Researchers will continue to make advancements in solar battery technology. Typical household solar batteries have a capacity of 10 kWh. These lithium-ion batteries have a lifespan of up to 15 years and can be layered to boost capacity as scientists strive for greater efficiency. Duties on Chinese solar panels help American manufacturers such as First Solar, although these tariffs were countered in 2019 by decreasing panel pricing. Solar panel and battery prices will continue to decline, luring new purchasers looking to save on otherwise uncertain energy expenses. According to Deloitte, solar and wind energy will account for more than 96 percent of net new energy generation capacity in 2022. Between 2013 and 2017, solar building costs decreased by 37 percent. Solar devices such as solar-powered generators, portable smartphone chargers, outdoor motion sensor lights, backpacks, and cookers may see increased demand.