Photo: Nextracker
Nextracker recently set a milestone in clean energy production in the US: It delivered the first solar trackers expected to meet the 100% domestic content requirements under the Energy Depreciation Act (IRA).
These US-made trackers are now on their way to power SB Energy's Pelican Jaw solar project in Kern County, California. (Solar trackers, usually used commercially, are arrays placed on the ground, which help increase solar production by following the sun throughout the day.)
Pelican's Jaw, a 570 MW solar farm combined with 954 MWh of energy storage, is being built by SOLV Energy and highlights the renewable energy generation revolution in the US. By sourcing 100% of the domestic content, Nextracker proves that large clean energy projects can get parts that are absolutely essential in the US.
Home supply chain
Fremont, California-headquartered Nextracker's move to increase US production began in 2021 as the company sought to overcome global supply disruptions caused by the pandemic. Through our manufacturing partners, we have expanded or launched more than 25 factories across the US, creating an annual production capacity of more than 30 GW.
Nextracker's localized approach ensures compliance with IRA incentives and shortens lead times, improves shipping, and reduces carbon emissions.
Under the IRA, clean energy projects are awarded a 30% investment tax credit. Another 10% can be used for projects that meet domestic content requirements, and another 10% can be added to projects included in Qualified Energy Communities.
Nextracker founder and CEO, Dan Shugar, said, “By focusing our manufacturing relationships closer to customer project sites, we secure the supply chain and provide on-time delivery and project development cost savings. We also decarbonize our products with clean steel made in the US.”
US jobs and renewable energy
The Pelican's Jaw project is just the beginning of these US-made solar tracks. SB Energy CEO Abhijeet Sathe called Nextracker's success a big win for the US manufacturing sector and renewable energy projects alike. “Our Pelican's Jaw project will be the first to use Nextracker's 100% US solar trackers. We applaud Nextracker for creating high-paying manufacturing jobs and strengthening asset security.”
Solar energy has become the leading source of new electricity generation, creating good-paying jobs in the US and around the world, according to the International Energy Agency. The American Clean Power Association reports that the US solar industry will support 279,000 jobs by 2023, with growth concentrated in states such as California, Texas, Pennsylvania, and Tennessee.
Electrek's Take
Two of the main goals of the IRA are to promote the growth of renewable energy and domestic production, and Nextracker is one of many US companies that exemplify both of those goals. The importance and impact of an IRA cannot be underestimated.
It has been a great pleasure to report on all the steps that have been achieved as a result of the passage of the IRA over the past few years. It was mind-boggling, and the Biden administration doesn't get the credit it deserves for the IRA.
Donald Trump has called the IRA “the biggest fraud in history,” and any IRA rules that the Treasury Department doesn't finalize before January 20th will be fair game to be canceled or changed by the new administration. I find this prospect offensive and hope that the legislatures of red states, where 80% of IRA benefits are received, use their common sense and do what is right for their constituents.
Read more: California to increase EV rebate if Trump kills $7,500 federal tax credit
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