# How Federal Tax Credits Are Fueling the Solar Industry’s Growth
The solar industry keeps gaining momentum, thanks in large part to federal clean energy policies. Today, energy groups representing over 2,000 companies are taking action to ensure that momentum continues. Their goal? To emphasize to Congress the critical role that solar tax credits play in boosting the economy, strengthening domestic manufacturing, and keeping the U.S. competitive in the global energy market.
If you’re considering investing in **solar panels for your home**, or simply curious about the evolving landscape of clean energy, it’s important to understand how policy decisions shape the industry.
## The Role of Federal Tax Credits in Solar Growth
The **solar industry** currently supports more than 280,000 jobs in the U.S., and much of that success can be credited to the incentives provided by the Inflation Reduction Act (IRA). These tax credits encourage private investment, leading to increased domestic manufacturing, job creation, and more accessible residential solar options for homeowners.
Before these policies took effect, the U.S. ranked seventh in global module manufacturing capacity. Now, it sits in third place. That’s a remarkable shift that highlights the direct impact of strategic government support.
## Why Solar Companies Are Fighting to Protect These Policies
Original Article: https://pv-magazine-usa.com/2025/02/05/energy-groups-head-to-washington-in-lobbying-blitz/
