Biden Administration Unveils Solar-Friendly Climate Plan

In a series of executive actions, President Joe Biden has outlined a national commitment to fighting the effects of climate change. Renewable energy technologies such as solar photovoltaic (PV) systems will play a substantial role in meeting the administration’s aggressive goals, including a carbon-neutral economy by 2050. Read ahead to learn more about the measures and how solar continues to factor into the nation’s transition to clean energy.

Biden Climate Plan Key Points

The Biden Administration’s plan for combating the climate crisis encompasses domestic and foreign policy decisions that spread across many executive actions. Within hours of taking office, the president recommitted the United States to the Paris Agreement, an international treaty aimed at curtailing global warming by reducing greenhouse gas emissions. The move is emblematic of the administration’s assertion that climate change is a matter of national security and should be a key foreign policy consideration moving forward.At home, the administration has set two ambitious emissions targets: the aforementioned plan for a carbon-neutral economy by mid-century, as well as a goal of a fossil-fuel-free energy sector no later than 2035. To that end, the president has called on federal agencies to nix fossil fuel subsidies, halt new public land leases for oil and natural gas, and support the development and commercialization of clean energy technologies. What’s more, the federal government itself will become a leading buyer of clean electricity under the Biden plan, a move that’s likely to bolster the deployment of renewables further.The actions also address socioeconomic issues, such as job creation, related to climate change. Constructing, manufacturing and engineering clean energy projects are among the types of occupations that could benefit from building more sustainable infrastructure, the administration says. The president also stressed the importance of land and water conservation and reforestation, creating additional job opportunities for Americans. Environmental justice is a clear priority as well — with attention being paid to the “disproportionate health, environmental, economic, and climate impacts on disadvantaged communities.”

What It Means for Solar

The Biden Administration’s commitment to climate action stands to strengthen an already flourishing solar market. Increasing the availability of renewable energy on a national scale is essential to reducing greenhouse gas emissions. Corporations can take immediate steps to reduce their own climate impact by installing solar PV systems at their facilities. Generating and consuming clean energy onsite reduces a company’s reliance on the utility, yielding ecological benefits as well as financial rewards in the form of offsetting energy costs and, in some regions, receiving credits for any excess electricity that’s fed back into the power grid. And thanks to the extension of the federal Investment Tax Credit (ITC), PV system owners will qualify to offset tax payments owed to the IRS in an amount equal to 26% of the eligible cost basis of a solar photovoltaic system until the end of 2022 — in addition to several state-specific incentives.Solar energy plays a key role in national climate policy and many companies’ internal sustainability strategies. To find out what solar can do for your business, contact us at PowerFlex for a free consultation so we can build a system that’s just right for your needs. As our high-profile clients can attest, we handle everything from project design to installation to financing.