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Your Energy Freedom is Under Threat 

Home solar and battery storage are among the few ways Americans can take control of their energy needs.

SEIA

May 29, 2025

Blog Posts

Think about it: solar presents consumer choice where it didn’t previously exist. Without solar, your utility is your only electricity supplier. You are renting your energy — exposed to increasing and unpredictable rate hikes. Solar empowers consumers with a choice and helps families keep more of their hard-earned money. 

That is what federal solar tax credits deliver to American families. But now, Congress is threatening to repeal this credit—pulling the rug out from under an industry that’s helping Americans achieve energy independence. 

Let’s unpack how such a repeal would hurt middle-class Americans and weaken our national energy security. 

Residential Solar Delivers Freedom, Lower Costs, and Energy Security 

The freedom and peace of mind that come with a home solar and storage system are emblematic of American self-sufficiency. 

Solar + storage households don’t need to worry about cranking up the thermostat during a heatwave or keeping medications cold during a power outage. 

Solar also saves homeowners thousands of dollars in utility costs. Once installed, homeowners pay nothing for the kilowatt-hours they generate and use. They’re locking in lower rates and protecting themselves from future price hikes. 

Plus, when Americans install solar, they aren’t just cutting their energy costs; they are lowering prices for everyone by increasing energy supply during peak demand. That’s not just smart — it’s being a good neighbor. 

Even better, investing in solar strengthens American energy security. The more energy we generate locally, the less we rely on hostile foreign regimes. If fully utilized, residential rooftop solar could generate 1,200 TWh per year. Since the United States currently uses a little over 4,000 TWh per year, this means that solar rooftops could effectively increase total U.S. energy production by over 28%. Every rooftop solar installation is another step toward true American energy independence. As conservative commentator Marc Ang notes in The Blaze, the residential solar tax credit “puts power — literally and figuratively — back in the hands of individuals while reducing America’s dependence on foreign energy.” 

Small Businesses and Onshored Manufacturers Depend on Residential Solar Tax Credits 

The residential solar sector supports over 100,000 American jobs and thousands of businesses—most of them small and locally owned. 

According to SEIA analysis, residential solar credits would put 1,500 residential solar companies at risk in 2026 and could cost up to 85,000 jobs. Additional changes that threaten the residential solar market could trigger job losses of 62,000 by the end of 2025.

Repealing residential solar credits not only harms families, but it would also directly result in fewer US manufacturing jobs. Residential solar suppliers tend to buy from domestic producers, and pulling the rug out from under these businesses could slash $1 billion in revenue from American solar module, racking and inverter manufacturers at a time when we want and need more domestic manufacturing of critical supply chains. These factories are located across the country, but primarily concentrated in states like South Carolina, Florida, Texas, and Utah. 

It’s Common Sense 

At a time that when President Trump has declared an energy emergency, and power demand is increasing faster than ever before, lawmakers need to make it easier, not harder, to harness every available energy source, including home solar. It’s just common sense. 

Supporting smart solar tax policies is conservative and in line with American values: freedom, liberty, self-reliance, strong families, and strong communities. It’s no wonder conservative states like Texas and Florida are among the nation’s fastest-growing solar markets. 

Repealing residential solar tax credits undermines the liberty of every American to control their own energy future. Fortunately, there’s still time to act. Congress is still negotiating—making now the most critical moment to make your voice heard. Tell your representatives in Washington: home solar is key to American energy dominance.