As the United States pushes toward a greener future, solar power has emerged as the undisputed leader in new energy production. A record-breaking 32.5 gigawatts of utility-scale solar capacity is projected to join the U.S. grid in 2025, representing a 30% increase in total new generation compared to 2024.
Solar’s rise has been remarkable. It accounts for 61% of all grid additions in 2024 and will make up more than half of new capacity in 2025. For 21 straight months, solar has ranked as the largest source of new monthly generating capacity. Through May 2025, solar represented 75.3% of all new installations.
Solar’s dominance reshapes America’s energy landscape with 21 consecutive months as the top source for new generation capacity.
The growth is geographically diverse but concentrated in key states. Texas leads the charge with plans to add 11.6 GW in 2025, with 3.2 GW already installed in the first half of the year. California follows with 2.9 GW planned. Indiana, Arizona, Michigan, Florida, and New York collectively expect to add 7.8 GW.
Utility-scale projects dominate this growth with 9 GWdc installed in Q1 2025 alone. Commercial solar grew by 4% in the same quarter. However, residential installations have fallen to their lowest level since Q3 2021, with 1,106 MWdc added in early 2025. Despite short-term challenges, the five-year outlook projects an average addition of nearly 43 GWdc annually through 2030.
The future looks bright for solar expansion. FERC’s “high probability” scenario projects 90 GW of solar additions between 2025-2028, while 24 GW of coal and 14 GW of natural gas capacity are expected to retire. Solar paired with battery storage will account for 81% of all new capacity in 2025. Total U.S. solar capacity could exceed 300 GW within three years at the current growth rate.
This shift signals fundamental changes in America’s energy environment. While economic uncertainty and policy changes like California’s net metering reforms create some headwinds, solar continues to outpace fossil fuels in new installations. Federal incentives have boosted adoption with tax credits covering 30% of installation costs for renewable systems.
As solar approaches 11% of total U.S. generating capacity, it’s increasingly clear that renewable energy is reshaping the nation’s power grid.
References
- https://www.eia.gov/todayinenergy/detail.php?id=65964
- https://www.eia.gov/todayinenergy/detail.php?id=64586
- https://seia.org/research-resources/solar-market-insight-report-q2-2025/
- https://electrek.co/2025/08/21/ferc-solar-wind-made-up-91-of-new-us-power-generating-capacity-to-end-of-may-2025/
- https://pv-magazine-usa.com/2025/07/10/solar-is-77-7-of-new-capacity-added-to-u-s-grid-in-2025/
