Regulatory

IRA

Acronym for: Inflation Reduction Act

Summary

2022 US law providing tax credits and subsidies for solar deployment; major driver of US solar growth.

Detailed Explanation

The Inflation Reduction Act (IRA) enacted in August 2022 provides $369B in clean energy incentives over 10 years. Key solar provisions: (1) 30% Investment Tax Credit (ITC) for commercial/utility solar through 2032; (2) domestic content bonus (+10% ITC) for US-made modules; (3) energy community bonus (+10% ITC); (4) production tax credits for US solar manufacturers. IRA drove record US installations in 2023-2025. Post-IRA pipeline backlog is ~200 GW.

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