The sun is finally shining on the solar industry. After years of being eclipsed by other renewable energy sources, solar has become hot.
The renewable energy source is enjoying a business renaissance of sorts as generation costs have declined and investments have multiplied in the solar sector. The result has been an increase in solar energy. In the first three quarters of 2014, 3,966 MW of solar capacity was installed in the United States as compared to 2,647 MW a year earlier.
The enthusiasm around solar is not restricted to a specific region, geography, or country. For example, solar energy is one of the few areas in which the Tea Party and liberals in Florida are willing to cooperate. Bahrain-based Terra Sola recently proposed a $3.5 billion solar energy plant in Egypt to develop solar PV technology. China has already stolen a march over the United States in the manufacture and installation of solar panels.
China’s neighbor India, which recently signed an agreement with the United States during President Barack Obama’s visit to the country, is catching up fast. At a recent conference for renewable energy, American solar panel manufacturer FirstSolar promised to install 5GW solar capacity in the country. Incidentally, this number is greater than solar capacity in the United States.
So, what is the reason behind solar energy’s popularity? Here are three reasons: