U.S. Solar Installations Decline Amid Trump's Clean Energy Attacks

Mar 12, 2026, 2:46 AM

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In 2025, solar power installations in the United States saw a notable decline of 14% compared to the previous year, primarily attributed to the Trump administration's aggressive stance against renewable energy sources. This information is detailed in a report released by the Solar Energy Industries Association and Wood Mackenzie, which highlights the challenges faced by the solar industry amid shifting federal policies.

Despite this downturn, solar energy continued to be the largest source of new electricity generation added to the electric grid. However, the volume of new installations was significantly lower than anticipated, raising concerns among industry experts.

The Trump administration's energy policies, particularly its emphasis on fossil fuels, have placed considerable strain on the solar sector. Michelle Davis, head of global solar at Wood Mackenzie Power & Renewables, stated, "The emphasis in federal energy policy that happened throughout 2025 on fossil fuels and a kind of move away from renewables definitely made an impact on the solar industry, to be sure.".

Federal policies introduced in 2025 included cuts to renewable energy funding and a temporary halt on wind energy permits. These changes have created an environment of uncertainty, leading to a slowdown in solar project development.

Moreover, the Department of Energy's announcement to reduce funding for federal renewable energy programs has directly impacted the solar and wind sectors. The administration's actions have raised fears that any future growth in the renewable sector could be stifled.

While 2025 was challenging for solar installations, the report did indicate a positive trend in battery storage installations, which reached their highest annual level. This surge in battery storage is critical as it complements solar energy by providing a means to store excess electricity generated during peak sunlight hours for use later.

Looking forward, the Energy Information Administration projects that solar power will still account for more than half of new power projects in 2026, with significant installations expected in states like Texas, Arizona, California, and Michigan.

Despite the setbacks in solar energy, the global outlook remains optimistic. The International Energy Agency anticipates that solar installations worldwide could triple by 2035, with countries like India and Saudi Arabia taking the lead. However, the US market is facing a unique set of challenges that could hinder its growth.

Industry stakeholders are voicing concerns that without a change in federal policy, the US could face rising electricity prices and a less resilient energy system. Darren Van't Hof, interim president and CEO of the Solar Energy Industries Association, commented on the urgency for a course correction in federal actions targeting the industry.

In conclusion, while solar energy has proven to be a vital source of new electricity generation, the impact of the Trump administration's policies in 2025 has created significant barriers for growth. The future of solar installations in the US will depend heavily on potential policy shifts and the overall commitment to renewable energy amid ongoing geopolitical tensions and market demands.

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