The solar industry will continue to grow rapidly as stated in the latest Short Term Energy Outlook recently released by the Energy Information Administration of the Department of Energy. Specifically, solar energy levels will grow by 50% from 2010 to 2011 according to the same report. The explosive growth in the solar industry will largely occur due to policies that demand substantial emission reductions and unprecedented financial support from the U.S. and State governments.
In the U.S., the American Recovery and Reinvestment Act stimulus bill of 2009 (ARRA) contains several provisions designed to alleviate renewable energy project financing constraints resulting from the economic downturn.
The ARRA establishes a temporary grant program that will allow commercial solar customers to receive a cash payment to cover 30% of the cost of installing solar equipment in lieu of the federal investment tax credit. The ARRA also appropriated $6 billion for a new loan guarantee program which the government estimates could support up to $60 billion of loans specifically for renewable energy and transmission projects. In addition, ARRA includes up to $2.3 billion for a new 30% investment tax credit for U.S. based renewable energy product production facilities.
President Obama and Congressional leaders have expressed desire to enact a number of initiatives to accelerate the U.S. transition to a low-carbon energy infrastructure. These include a cap and trade mechanism to curb carbon emissions, an expansion of the transmission grid, plus further additional stimuli for renewable energy and energy efficiency.
The extent to which the public sector has embraced renewable energy as a means of mitigating climate change, enhancing energy independence and diversity, and stimulating economic growth bodes well for the future of the solar industry.
New Jersey leads the US solar development after California with one of the most robust Solar Renewable Energy Certificate (SREC) programs in the U.S.
We plan to use photovoltaics (PV) which is a solar power technology that converts light from the sun directly into electricity.
Solar panels are made up of solar cells which are semiconductor devices that directly convert sunlight into electricity in the form of direct current (DC). Solar cells are connected together and encapsulated in a weatherproof light absorbing (non reflective) package to form a solar panel. Solar panels are tied together and connected to inverters which transform DC, the electricity produced by solar panels, into a more common form of electricity, alternating current (AC), which is used in our homes. The inverters from our Upper Pittsgrove Township solar farm will feed power directly into the utility grid which is already located adjacent to our project.