Solar Generation in the US Power Grid: Issues and Opportunities

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Abstract

Solar energy did not become the target for the first decrees of the new US administration, since its development does not contradict the interests of the traditional fuel and energy complex and has proven its effectiveness. The study focuses on both the geographical and climatic conditions of solar generation, as well as public policy. Subsidies, tax incentives, and investment in research and development play a key role in stimulating the growth of the solar energy segment. Based on the analysis of statistical data, corporate reports, government programs and expert interviews, California stands out as the most developed region in the field of solar energy. Barriers to development are the cost of land plots for solar power plants and their remoteness from power grids. In contrast to the gradually decreasing cost of production, the main challenges are related to energy storage systems and the utilization of worked out solar capacity. The study concludes that, thanks to key growth drivers and despite remaining barriers slowing down further expansion of the industry, solar energy in the United States is demonstrating steady growth, maintaining leadership among renewable energy sources as of early 2025.

About the authors

I. V Lukashenko

Georgy Arbatov Institute for the U.S. and Canada Studies, Russian Academy of Sciences (ISKRAN)

Email: anelal@mail.ru
ORCID iD: 0000-0002-7235-1139
Candidate of Sciences (Economics), Leading Research Fellow Moscow, Russian Federation

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