Biden calls for tax incentives to accelerate solar deployment

Facebook
Twitter
LinkedIn
Reddit
Email
President Joe Biden during a visit to a National Renewable Energy Laboratory facility in Colorado last year. Image: NREL.

President Joe Biden used his first State of the Union address to emphasise the need for more renewables investment and tax incentives to speed up solar deployment.

Biden promised that measures to combat climate change would cut average US household energy costs by US$500 a year as he continued to push for renewables-supporting policies included in his stalled Build Back Better (BBB) bill.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

“Let’s provide investments and tax credits to weatherise your homes and businesses to be energy efficient and you get a tax credit; double America’s clean energy production in solar, wind and so much more,” Biden said during the speech yesterday.

As US renewable energy trade associations welcomed the comments, there were also fresh calls for policies to bolster domestic PV manufacturing so that the country is less reliant on imports.

“Threats from hostile countries, particularly in light of Russia’s unprovoked invasion of Ukraine, underscore the urgency of our transition to a clean energy economy,” said Abigail Ross Hopper, CEO of the Solar Energy Industries Association.

She said it is critical to invest in US manufacturing supply chains and build demand for clean energy sources such as solar and storage, adding: “With policies that support American clean energy manufacturing and the expansion of solar power and energy storage, we can become less dependent on energy and materials from countries that do not share our values or our interests.”

While BBB contains policy support for US PV manufacturers – as well as expanded solar investment tax credits and a raft of other clean energy provisions – the bill hit a wall late last year as Joe Manchin, a Democrat from West Virginia, said he would not support the legislation.

Although Biden said in January that he believed he could win support for the energy and environmental initiatives included in BBB, Democrats still need to secure the backing of Manchin, who sat on Republicans’ side of the House chamber during the president’s address.

“They just can’t help themselves,” Manchin said when he was asked after Biden’s speech whether he was surprised by the president’s effort to try and revive the legislation, according to The Hill.

More than 260 companies in the US clean energy sector wrote to congressional leadership in January, warning that US$2 billion is being lost in economic activity every month the bill is delayed. Citing analysis by trade body American Clean Power (ACP), the letter said the legislation would help the US reach 750GW of solar, wind and battery storage by 2030.

Responding to Biden’s address, ACP CEO Heather Zichal called for renewables deployment to be accelerated and urged Congress to take action on investments and tax credits for the clean energy industry.

Zichal said: “The invasion of Ukraine reminded us that bullies like Vladimir Putin can play games with energy to hold countries hostage. This week we also heard the world’s leading climate scientists tell us that our planet is warming at an alarming rate. The way out of both of these crises is to rapidly scale affordable, reliable clean energy everywhere.”

Read Next

October 3, 2025
Chinese government policies and supply-side production cuts will drive a significant increase in solar and storage component costs.
September 24, 2025
Representatives from the EU, IEA and IRENA have signed an open letter to deliver a 'just and equitable energy transition'.
September 22, 2025
The Rural Electrification Agency (REA) of Nigeria has announced plans to build a 1GW solar module manufacturing facility in the country.
September 22, 2025
The US added 6,012 new jobs in the solar industry between the fourth quarter of 2023 and the fourth quarter of 2024, according to E2.
September 19, 2025
Australia has committed to cutting greenhouse gas emissions by 62-70% below 2005 levels by 2035, Prime Minister Anthony Albanese announced on Thursday (18 September).
September 17, 2025
The California State Legislature has passed two bills that aim to reduce energy prices in the state, AB 825 and SB 302.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 7, 2025
Manila, Philippines
Solar Media Events
October 7, 2025
San Francisco Bay Area, USA
Solar Media Events
October 21, 2025
New York, USA
Solar Media Events
November 25, 2025
Warsaw, Poland