U.S. Energy Department Announces $40 Million to Strengthen Domestic Solar Supply Chain

The U.S. Energy Department has announced $40 million to bolster solar manufacturing, expand photovoltaic recycling, and foster new markets for solar technologies.

The investments include the selection of four projects to receive $16 million, including $8 million from the 2021 Infrastructure Investment and Jobs Act, to enhance the lifespan of PV solar systems. The chosen projects will take full advantage of the environmental benefit of solar energy technologies by elevating PV system equipment lifespan and work to enable material retrieval once the equipment is decommissioned. The projects will assist the Biden administration’s attempt to strengthen domestic manufacturing competitiveness and enhance sustainability of solar technologies. The four selected projects are: Case Western Reserve University in Ohio, University of North Carolina, and kWh Analytics and Electric Power Research Institute both in California.

The Materials, Operation and Recycling of Photovoltaics, or MORE PV, funding program supports the department’s Photovoltaics End-of-Life Action Plan, which intends to reduce the total expenditure of recycling by 50 percent by 2030 and lower the environmental impact of solar energy modules at end-of-life. Moreover, the funding program started the Solar Partnership to Advance Recycling and Circulatory, or Solar PARC, to enhance materials recovery and improve safe end of life procedures for PV system equipment.

The department also made announcements regarding the American-Made Solar Prize. In the Solar Prize Round 7, the Solar Energy Technologies Office selected two teams that received $500,000 each for their early-stage innovations aimed at overcoming challenges in the rapid deployment of equitable solar energy. Across seven rounds, the department has awarded $21.6 million in cash prizes to advance the development of solar technologies. Competitors can apply to participate in Round 8 of the Solar Prize until Sept. 26. In addition, the department announced its upcoming $3 million American-Made Promoting Registration of Inverters and Modules with Ecolabel, or PRIME, Prize.

Moreover, the department issued a notice of intent for up to $20 million to enhance solar manufacturing. The funding will allow for development, research and demonstration projects that develop innovative solar technologies.

Solar installations and technologies have increased across the U.S. over the last decade. In particular, certain states such as California have seen a significant increase in pairing residential solar installations with battery storage. As of April 2024, over 50 percent of residential solar photovoltaic installations in California were paired with battery storage, in comparison to around 20 percent during October 2023.