2025 Solar Energy Statistics: Latest Industry Survey Data

Solar power has been growing rapidly in the U.S. for the past decade, and there are now more than 160 gigawatts of solar panels installed across the country. 

Here are some quick statistics about solar energy in the United States:

• Total installed solar capacity: 163,452.3 megawatts

• State with the most solar installed: California

• Residential net-metered solar capacity: 33,704 MW

• Number of homes with solar panels: 4,724,340

• Average home solar installation size: 7.13 kilowatts

Note: Data from U.S. Energy Information Administration, October 2024

10 solar industry statistics for 2025

In early 2025, SolarReviews concluded our third annual survey of companies in the U.S. solar industry. We heard from hundreds of companies that comprise various industry sectors, from residential solar installers to equipment manufacturers and utility-scale developers.

Their responses provided a snapshot of the industry’s experiences over the past year, and a good idea of the opportunities and challenges companies will face in the near future.

Here are some of the most important data points from the Survey:

1. Equipment performance and quality are most important to installers

When asked why they chose the brands they did, the most popular reasons were product performance/quality, brand name/reputation, and pricing. 

All of these factors are also considered by SolarReviews’ experts in our rooftop solar panel brand ranking criteria. 

Here are the most used products selected by respondents:

Of note, the top two spots in each category remained the same this year as they did the last two years. Qcells and REC were the top picks for panel brands, while Silfab took third place for the first time. 

Similarly, Enphase and SolarEdge clinched the number one and two slots for inverters for the third year in a row, while Tesla shot up to third place on the strength of the integrated solar inverter in the Powerwall 3 home battery. As for energy storage, Enphase, Tesla, and SolarEdge remained installer favorites.

All five of the solar panel brands represented in the list above are also part of SolarReviews’ best solar panel brands of 2024

2. 30% of solar equipment used in 2024 was sourced from manufacturers operating in the United States

Respondents to our survey used a lot of U.S.-manufactured solar equipment in 2024. We expect to see this trend continue as American manufacturing capacity increases and solar installers reduce their reliance on solar equipment made in China. 

3. 56% of installers are concerned about Trump tariffs, 50% fear changes to incentives

56% of all solar companies expressed concern over the potential disruption of new tariffs put in place by the Trump administration, and 50% are worried about changes to solar incentives (especially the federal solar tax credit). Many residential installers expressed that the recent closures of large companies like SunPower have caused potential customers to become more wary of all solar companies.

4. 94% of residential solar installers offer additional services

The solar industry isn’t just about solar anymore. Many companies have expanded their offerings to include other clean energy technologies like battery storage and EV chargers. Some companies offer accompanying services like roof repairs and electrical work, acting as a “one-stop-shop” for customers.

• 92% of residential installers offered energy storage installation in 2024

• 86% offered EV charger installation

• 86% provided both energy storage and EV charger installation

5. Customers were less willing to invest in home energy upgrades and resilience services 

The total proportion of home solar installations that include extra services has regressed since 2023, indicating that homeowners could be less willing to spend money on add-on items like energy storage, oversized solar systems, and additional solar on existing installations.

Here’s a breakdown of how many home solar installations included some sort of additional service: 

• 28% included energy storage (down from 35% in 2023)

• 15% of solar included roofing upgrades and/or replacements (was 21%)

• 9% included EV chargers (was 16%)

• 11% of solar photovoltaic (PV) installations were oversized to prepare for future EV charging (was 28%)

• 7% of previous customers requested additional solar modules for EV charging (was 15%)

6. Access to backup power was the primary reason homeowners installed batteries in 2024

Homeowners install solar panels primarily to save money, but installers say 80% of people choose battery storage primarily for its use as a backup power source. That far exceeds the proportion of people who choose it to offset reduced net metering benefits (13%) or time of use rates (7%).

7.  Monitoring and inverter issues were the most common after-installation repairs 

When asked about the after-installation repairs they must perform, 52% of solar installers reported that problems with monitoring, communication, and/or internet connection were the most common issues with their customers’ solar installations. 

An additional 36% reported that inverter hardware and software problems were most common. Battery hardware and software problems, roof leaks, wiring issues, and broken/underperforming panels were cited by the fewest installers as their main issues.

8. Supply chain issues are lessening

In 2024, pandemic-era supply shortages appear to have finally stabilized, with 89% of companies reporting that the severity of challenges had either stayed about the same or improved. Similarly, 73% of companies said they have a neutral outlook or expect to grow in the next 6 months, while only 9% expressed any concern about staying in business.

9. Permitting and interconnection rules, customer acquisition, and increased financing costs are the biggest barriers to success for solar companies

To get a picture of the major challenges faced by solar companies, we asked them to select their primary barriers to success from a list. The three most-cited difficulties were permitting and interconnection rules, customer acquisition, and increased financing costs. 

Permitting and interconnection remain a major problem because there hasn’t been enough federal action to tackle the problem, despite strong advocacy in the last decade from groups like the Solar Energy Industries Association (SEIA) and Interstate Renewable Energy Council (IREC). 

One attempt to reduce the burdens of residential solar permitting is a tool called SolarAPP+, which is being used by jurisdictions around the country. But according to our survey respondents, the tool is not doing enough to help remove barriers in the permitting and interconnection process. Only 54% of respondents who work in jurisdictions that use SolarAPP+ said it makes things significantly easier. 

In early 2025, the Department of Energy released a roadmap with 39 ways to improve permitting and interconnection processes in the country. We can only hope these recommendations will be taken seriously and implemented by the new federal government. 

For installers, the problems of customer acquisition and increased financing costs go hand in hand, combining to form the industry’s major “chicken-or-egg” dilemma: prices can’t come down until customers are easier to acquire, and financing is so expensive that it’s difficult to attract customers at current prices.

Here is a list of the top five most-reported barriers to success: 

• Permitting and interconnection rules and cost - 33%

• Customer acquisition - 31%

• Increased financing costs - 31%

• Increased equipment cost - 24%

• Lack of skilled laborers - 24%

10. 78% of installers expect to sell more solar in 2025 than they did in 2024

Despite the hardships of 2024, installers remain hopeful that 2025 will be an improvement. These were some of the bright spots in the data: 

• 38% of all solar companies expect to grow in 2025, and an additional 35% think they will maintain the same level of business

• 28% of companies say they have expanded into low-income areas as a result of the Inflation Reduction Act. Another 28% say they expect to in 2025. 

At the end of 2023, 54% of installers said they expected to sell more or less solar in 2024. But in this year’s survey, only 25% reported that demand had, in fact, increased. Looking ahead to 2025, 78% of installers predict they will sell more solar. Time will tell if they are correct, but history has not been kind to these predictions. 

Looking forward to the rest of 2025

There is great uncertainty in the coming year, which has begun with President Trump’s executive order to temporarily pause disbursements of funds from the Inflation Reduction Act and Infrastructure Investment and Jobs Act, which have been vital tools for the solar industry. Tariffs on Canada, Mexico, and many other countries are also promised soon.

Given the concerns outlined by solar companies in response to our survey, it seems as though some of the industry’s worst fears are about to come true. Time will tell whether these early actions will cause major impediments for solar companies or whether President Trump’s promises to “unleash American energy” will include making it easier to install solar panels on homes, businesses, and land all across the country. 

One area where states can help bolster demand for solar is incentives. The most popular solar incentive programs among solar installers are statewide tax credits for solar customers and energy storage rebates. 

Interestingly, demand response battery programs (like virtual power plants) were one of the least popular incentives among solar installers, despite their ability to improve financial outcomes for solar owners in states without net metering.

Whatever happens, we will track it and report our findings here and across the SolarReviews website. 

Other Solar Industry Reports

2025 Solar Industry Survey

Our third annual survey, conducted at the end of 2024, covered industry trends in 2024, as well as the outlook and concerns for 2025.

2024 Solar Industry Survey

Our second annual survey, conducted at the beginning of 2024, covered company performance during 2023 and outlook for 2024. 

2022 Solar Industry Survey

In 2023, we conducted our first-ever survey of the solar industry, establishing a baseline for annual metrics and identifying key trends that occurred in 2022. The survey results showed that the industry began 2023 full of optimism despite headwinds from high interest rates, state policy changes, and supply chain problems. Download the full report below.

Best solar panels of 2024

The SolarReviews team also puts together an annual list of the top solar panel brands. The 2024 report is our second annual publication, utilizing data from our survey about installer-preferred brands and featuring new data about stateside manufacturing capacity. Download the report below.