As the U.S. invests more resources into solar energy production, the economy will gain momentum. The economic impact derives from potential savings to businesses, the creation of jobs within the solar energy industry, the need for skilled workers, and reducing reliance on foreign countries for fossil fuels. Take a look at how each of these solar energy benefits will improve the U.S. economy in the coming years.
Savings to Businesses
Investments in a business have the common goal of making or saving money. For example, an investment into a more energy-efficient heating and cooling systems helps reduce electricity costs. The same principle can be applied to the installation of solar panels. Paying less for electricity consumption and receiving tax credits allow the business to use the savings on other needs, which include wages.
Commercial and residential building owners can receive up to a 30 percent tax credit through the end of 2016, reports the Solar Industries Energy Administration
®. As a result, employees achieve greater economic stability. These savings help improve the economy through increased consumer spending on all levels.
Creation of Jobs in Solar Energy Production
Solar energy companies, such as Golden Solar,
contribute to the economy through business growth. As a solar energy company grows, the business must invest more resources into the company. For example, the business will need to purchase additional equipment, expand headquarter premises, and hire more skilled workers. If the business opts to build new operation centers, construction costs will be incurred. Each expense represents income through the employment of construction crews, installation technicians, office staff and those selling products to the company. Therefore, the company helps to create and sustain additional jobs, which improves the economy.
Increased Demand For Trade Education
Between 2012 and 2022, the demand for photovoltaic installers, or PV installers, is expected to grow by 24 percent, asserts the Bureau of Labor Statistics.
For a person to become a PV installer, most companies require training and solar panel
installation instruction through a trade school, apprenticeship or other post-secondary educational institution. This further improves the economy as more people climb out of poverty and into a credible, growing work environment.
Decreasing Reliance on Fossil Fuels
Within the past decade, the U.S. has seen some of the worst environmental and political disasters in history. Consider the impact of the ISIS and the BP oil spill on fossil fuel production. Today, the U.S. needs to focus on obtaining a reliable, safe source of energy. Solar energy production lacks negative environmental impacts and can be operated at nearly any location in the U.S.
As a result, U.S. reliance on foreign oil for energy production is gradually decreasing, which allows for increased investments into U.S.-based markets. Furthermore, this places the US in alignment with other environmentally-conscious countries. Since the cost of harvesting solar energy is much lower and safer than the harvesting of fossil fuels, it can bring savings to millions of Americans through reduced energy costs.
Utility-scale solar energy harvesting is expected to grow by 100 percent by the end of 2016, reports the US Energy Information Administration
. As the U.S. continues to move in the direction of harvesting renewable sources of energy, especially solar energy, the U.S. economy will continue to improve.