U.S. solar power installation outlook brightens on falling costs

The U.S. solar energy industry lifted its installation outlook for this year and beyond thanks to robust demand for large-scale projects by utilities buying the clean energy source for its low cost, according to a report published on Tuesday.In 2019, installations are expected to be up 25 percent from 2018 to 13.3 gigawatts, the report from the Solar Energy Industries Association and Wood Mackenzie said. The groups' previous forecast called for 14 percent growth this year.The change is primarily due to late project announcements in Texas, the report said.The rosy outlook marks an about-face from 2018, when installations fell 2 percent after U.S. President Donald Trump slapped 30 percent tariffs on overseas-made solar panels.Since then, global panel prices have fallen dramatically due to an oversupply of panels in top producer China, which cut incentives for installations there. Between the first quarter of 2018 and the first quarter of 2019, monocrystalline module prices fell 30 percent, according to the report, effectively canceling out the U.S. tariffs. Looking ahead, the industry lifted its five-year outlook by 5.1 GW, or about 9 percent, mostly due to new procurement by utilities in Florida including Nextera Energy Inc's FPL and Duke Energy Corp.