Solar continues to skyrocket in the U.S. According to this GTM report the market grew 95% in 2016 and shows no signs of letting up.
In its biggest year to date, the United States solar market nearly doubled its annual record, topping out at 14,626 megawatts of solar PV installed in 2016.
This represents a 95 percent increase over the previous record of 7,493 megawatts installed in 2015. GTM Research and the Solar Energy Industries Association (SEIA) previewed this data in advance of their upcoming U.S. Solar Market Insight report, set to be released on March 9.
For the first time ever, U.S. solar ranked as the No. 1 source of new electric generating capacity additions on an annual basis. In total, solar accounted for 39 percent of new capacity additions across all fuel types in 2016.
“What these numbers tell you is that the solar industry is a force to be reckoned with,” said Abigail Ross Hopper, SEIA’s president and CEO. “Solar’s economically winning hand is generating strong growth across all market segments nationwide, leading to more than 260,000 Americans now employed in solar.”
Success this year was driven largely by the utility-scale segment, which was bolstered by a pipeline of projects initially hedging against the extension of the federal Investment Tax Credit. Not only did it represent the most megawatts installed, but the utility-scale segment also featured the highest growth rate of any segment, growing 145 percent from 2015.
“In a banner year for U.S. solar, a record 22 states each added more than 100 megawatts,” said Cory Honeyman, GTM Research’s associate director of U.S. solar. “While U.S. solar grew across all segments, what stands out is the double-digit-gigawatt boom in utility-scale solar, primarily due to solar’s cost-competitiveness with natural-gas alternatives.”