Leading solar panel maker First Solar announced Tuesday it will invest up to $1.2 billion to build its fourth factory in the United States. That’s largely because Congress passed major energy and climate legislation this month that expands incentives for renewable energy. .
The Tempe, Arizona-based company plans to build its first factory outside of Ohio somewhere in the Southeast. On an annual basis, the new plant will generate about the same amount of power generation capacity as the total capacity used by solar farms and rooftops across the country during his first three months of the year.
First Solar said it will also expand its three Ohio plants to meet growing demand for its panels, which use thin-film materials rather than the crystalline silicon used in most panels. The company said it will create about 1,000 jobs at the new and existing plants.
Just two weeks ago, President Biden signed into law an energy and climate bill known as the Inflation Reduction Act. The law authorizes hundreds of billions of dollars in federal tax credits, grants and loans to encourage businesses and individuals to switch to renewable energy and electric vehicles to combat climate change.
The solar business stands to benefit greatly from legislation to expand and extend renewable energy tax credits that were scheduled to end or shrink in the next few years.
First Solar’s announcement confirms Biden and other lawmakers’ goals to expand domestic production of solar panels and reduce reliance on China, Malaysia and other Asian countries, where most of these devices are made. It also helps you achieve
“This investment is an important step in achieving solar technology self-sufficiency, and it supports America’s energy security ambitions, large-scale solar deployment, and ability to lead innovation,” said the statement. “While we have not made any decisions at this time, we continue to evaluate further investments in increasing capacity and may announce further expansion plans in the future.”