Solar power sets record in the US with 50 GW added, meanwhile Big Tech bets on nuclear

US adds 50 GW solar power, while tech giants like Amazon and Google push for nuclear.

: The US set a record by adding 50 GW of solar power, enough to power 8.5 million homes. Simultaneously, tech companies Amazon, Google, and Meta aim to triple nuclear capacity by 2050. In Texas, 11.6 GW of solar was installed, and 13 states added over 1 GW. Challenges for solar include policy issues and possible $250 billion investment loss.

In 2024, the United States marked a milestone in renewable energy by installing a record 50 gigawatts of new solar capacity, according to the US Solar Market Insight 2024 Year in Review report by the Solar Energy Industries Association (SEIA) and Wood Mackenzie. This addition is the largest single-year increase in over two decades, sufficient to supply electricity to approximately 8.5 million households. Solar power, along with storage, accounted for 84 percent of all new electric generating capacity in the US. The growth was bolstered by domestic manufacturing which saw solar module production triple last year, allowing the US to meet nearly all of its domestic demand for panels.

Texas notably contributed to this growth by installing 11.6 GW of new solar capacity, leading the nation. Furthermore, 21 states in total set new annual records in solar installation, while 13 of these states managed to add over 1 GW. The growth was particularly pronounced in large-scale utility projects, which increased by 33 percent year-over-year, setting a new high of 41.4 GW capacity. Both community and commercial solar sectors also experienced significant expansion, with growth rates of 35 percent and eight percent, respectively.

Despite these achievements, there are hurdles facing the solar industry mainly due to policy uncertainties. Anticipated changes in federal tax credits, supply chain issues, and permitting policies could slow down the progress in solar adoption, potentially costing up to $250 billion in lost investments over the next decade. These challenges could have repercussions on the broader US energy sector and economic growth.

Meanwhile, attention is also pivoting to nuclear energy, fueled by Big Tech's interest. Amazon, Google, and Meta have pledged support to triple nuclear energy capacity globally by 2050. This pledge, facilitated by the World Nuclear Association, aligns with an initiative supported by over 20 countries, including the US, during the UN Climate Change Conference in December 2023. The tech companies’ enthusiasm for nuclear energy is driven by their need for stable, continuous power to run expansive data centers and AI operations, which cannot completely rely on renewable sources like solar.

Amazon and Google are already investing in small modular reactors, which promise lower costs and faster deployment than traditional nuclear plants. Additionally, Meta is actively seeking proposals to add up to 4 GW of new nuclear power within the United States. This approach reflects a balancing act between environmental goals, economic growth, and ensuring energy security, with solar and nuclear energy poised to play central roles in meeting future electricity demands and reducing carbon emissions.

Sources: TechSpot, Solar Energy Industries Association (SEIA), Wood Mackenzie, World Nuclear Association

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