For a long time, rooftop solar capacity in the United States has been increasing meteorically – especially in California. Between 2015 and 2023, California’s small-scale solar capacity increased sixfold, the New Lede reported.
But in the last two years, there has been a significant decline, with rooftop solar installation falling dramatically, and changes in solar energy policies look set to exacerbate the problem.
On the surface, it may be difficult to see why the solar installation would go down this way. Switching to rooftop solar panels is a way to instantly cut your energy bill without harming the environment – in fact, it’s good for it.
If you want to make the switch yourself, exploring TCD’s Solar Explorer leads to resources like EnergySage’s free tools, which can help you get quick estimates from installers in your area and easily compare quotes between them.
However, in 2024, 42 of the 50 states saw fewer solar installations last year than the year before, and there was an overall decrease of 39% in capacity. That trend has continued into 2025, and with the Trump administration’s determination to reduce solar incentives, it’s becoming more difficult for individual homeowners to install their own solar panels.
“It’s not looking good. I don’t know how long it will take to recover,” said Grace Wu, assistant professor in the environmental studies program at the University of California, Santa Barbara, according to the New Lede.
There is some hope in the form of solar utility scale, which has continued to increase America’s total solar capacity. While this also lowers utility rates and reduces pollution, it doesn’t put energy in the hands of individuals in the same way as rooftop solar.
Opponents of rooftop solar are celebrating this trend, saying rooftop solar costs non-solar users $8.5 billion a year in grid costs. However, rooftop supporters say that this figure deliberately leaves out all the benefits of rooftop solar, and that once you factor those, non-rooftop solar owners actually profit by $1.5 billion. Meanwhile, the environment is much better because of the use of clean energy.
If you’re ready to make the switch, EnergySage’s free services can make an incredible difference to your solar installation experience. Not only does this organization make it easy to find verified installers near you, without the risk of pushy sales tactics, but its help allows the average homeowner to save up to $10,000 on their solar purchase and installation.
You can get detailed numbers for your state using its convenient mapping tool. Be sure to take advantage of these incentives sooner rather than later; the federal program that grants a 30% tax credit for solar installation is expiring at the end of 2025.
To reduce your energy bill even more, you can combine solar panels with an energy efficient device, such as an electric heat pump. To choose the right one for your home and budget without difficulty, check out TCD’s HVAC Explorer and save up to 50% on heating and cooling.
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