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President Donald Trump Signing Executive Order

Trump's executive orders directly threaten the Inflation Reduction Act, putting critical solar tax credits and funding at risk—programs essential for keeping solar energy affordable for both homeowners and businesses

January 21, 20259 min read

President Trump’s executive orders aimed to undo key clean energy policies, expand fossil fuels, and enforce trade protections, creating uncertainty for solar growth while corporate demand and manufacturing continue to support the industry.

The deployment of solar photovoltaics (PV) and battery backup systems in the United States has seen significant growth due to government grants and programs aimed at promoting clean energy. Recent executive orders, however, are raising concerns among homeowners and businesses relying on such initiatives. In this article, we examine the practical implications of these developments and explore shifts within the solar industry in light of recent policy changes, especially in states like California, which are at the forefront of renewable energy adoption.


Overview of Executive Orders on Solar and Clean Energy Programs

Recent executive orders issued by former President Trump have created uncertainty in the renewable energy sector, particularly in funding critical solar and battery backup programs. One such directive called for federal agencies to pause the disbursement of funds allocated to energy grant initiatives, sparking significant turbulence for both homeowners and industry players.

These programs are vital lifelines for communities seeking to reduce reliance on fossil fuels while addressing the challenges posed by grid instability, rolling blackouts, and rising energy prices. This frozen funding could potentially curb access to solar PV systems and battery technologies, which have been pivotal in areas prone to natural disasters and power disruptions.

Residential Solar: The IRA provides funding and tax credits that make solar installations more affordable for homeowners. By challenging this legislation, there is a direct risk of reducing incentives for homeowners to adopt solar, potentially stalling growth in this sector. Additionally, tariffs and supply chain disruptions could drive up the cost of residential solar systems making solar more expensive than local utility rates in many states nationwide.

Business Solar: The same policies also affect commercial and industrial solar installations. Businesses rely on similar incentives from the IRA to offset costs for solar adoption. Moreover, trade policy changes and supply chain issues can significantly impact larger-scale projects that businesses often pursue, which are more reliant on high-volume imports of solar panels and materials.

Broader Energy Sector Impacts: Challenges to EV mandates, offshore wind projects, or other renewable energy initiatives also indirectly weaken overall market competitiveness for solar power, affecting its adoption by both homeowners and businesses.


What Are Power Purchase Programs?

Affordable Solar Solutions Without Buying Panels and Batteries

Power Purchase Programs (PPPs) allow homeowners and businesses to access solar and energy storage technologies without the burden of leases, loans or cash investments. These programs are backed by federal grants or other funding mechanisms that either:

  • Provide solar panel and battery systems to the homeowner or business without them having to take out loans, leases, or pay cash for the equipment - essentially they become the new electricity provider. 

  • Offer battery backup systems at significantly reduced rates.

As a result, participants can enjoy benefits such as lower utility bills, uninterrupted power during outages, and reduced carbon emissions—even in economically vulnerable communities.


Why the Freeze in Funding Matters

The directive to pause federal funding creates significant roadblocks for ongoing solar adoption efforts, particularly in fire and blackout-prone regions like California. Without access to grants, cash purchases or loans will become the only viable options, which could render clean energy systems financially inaccessible for those who need them most.


California Wildfires and Rolling Blackouts: A Call for Solar Resilience

California’s frequent wildfires and prolonged rolling blackouts have made renewable energy infrastructure an essential lifeline for its residents. Despite advancements in energy grid development, millions of Californians face disruptions that last for days or weeks, especially during fire season.

The availability of government-backed solar programs has been instrumental in helping communities weather such crises. Without these programs, many vulnerable low- and middle-income homeowners risk losing access to reliable, clean energy alternatives, increasing dependence on fossil-based electricity grids.


How Government Grants Revolutionized Home Solar Adoption

Funded Solutions for Clean Energy

In recent years, federal and state-level solar grant programs have gained momentum, enabling eligible homeowners to install solar panels and battery systems at no personal cost. These initiatives have been game-changers for tens of thousands of Californians seeking resilience during unpredictable natural disasters.

Key highlights include:

  • Eligibility: My Solar Solutions  reported that homeowners affected by blackouts and other disruptions were often prioritized for grant support.

  • Battery Backup Systems: Combining solar panels with residential battery systems allows homes to remain powered even when the main grid goes offline.

  • Carbon Reduction Goals: California credits these initiatives with advancing the state’s ambitious renewable energy targets.

  • Rate Increase Protection: The CPUC has increased their electricity rates by 11% a year since 2017. With kwh rates currently at .35 cents this means energy prices have more than doubled in the last 8 years in California. 


The Rise in Solar Adoption Among Homeowners

An estimated 1 in 3 households in California are now partially or fully reliant on solar PV systems, a number bolstered by a robust network of government-backed programs. Among those, a growing percentage of homeowners are investing in battery backup systems to ensure energy security during prolonged outages.


The Impact of 5-Day Rolling Blackouts on Homeowner Solar Adoption

Jan 2025 saw some of the most grueling blackouts in California's recent history. Entire communities experienced outages that lasted up to five days, underscoring the fragility of the energy grid. In response:

  • My Solar Solutions reported that their applications for PPA programs spiked by as much as 80% in affected areas.

  • Battery system installations increased, with $0 upfront programs driving demand among first-time adopters.

In the wake of these crises, homeowners leaned heavily on subsidized or fully funded solar systems to avoid future energy insecurity.


What’s at Stake Without Solar Power Purchase Programs

The consequences of paused federal grants will reverberate across multiple demographics and industries. Here are the primary concerns:

1. Limited Energy Access for Disaster-Prone Regions

Homeowners in wildfire-prone regions rely on battery-powered solar systems for survival during grid failures. Without grants, securing these systems may become financially untenable.

2. Reduced Adoption Rates in LMI Communities

Low- and middle-income (LMI) households are among the largest beneficiaries of government-subsidized solar programs. A halt in funding could widen the renewable energy access gap.

3. Rising Energy Costs

Without subsidized solutions, families looking to go solar could face higher upfront costs and rising financing rates, making renewable energy a less attractive option.


Benefits of Battery Backup Systems for Homeowners

Why Combine Solar with Batteries?

Combining solar panels with energy storage solutions provides several advantages:

  • Grid Independence: Batteries ensure access to energy during outages.

  • Utility Bill Savings: Homeowners can use stored energy during peak hours when electricity rates are higher.

  • Increased Resilience to Natural Disasters: A reliable energy source during emergencies.


California’s $0 Solar Programs: A Case Study

Before funding freezes were implemented, California had several state-sponsored programs that eliminated upfront costs for solar and battery installations. Notable examples include:

  • The Self-Generation Incentive Program (SGIP), which focuses on providing battery storage systems to low-income communities. The drawback to this program is that it requires an upfront investment to qualify.

By addressing structural barriers to entry, these programs helped close gaps in clean energy adoption while advancing sustainability goals.


Misalignment of Federal Policies with Local Clean Energy Goals

California’s clean energy policies often align poorly with federal initiatives, especially following the recent pause in funding. The freeze on grants could disproportionately burden states taking strides toward renewable energy leadership. 

Key consequences include:

  • A slowdown in meeting Renewable Portfolio Standards (RPS): California's ambitious targets currently depend on widespread grant-driven solar adoption.

  • Increased demand for fossil fuels: As cleaner energy options diminish, reliance on traditional energy sources could increase.


The Economic Costs of Halting Solar Initiatives

Economic implications go hand in hand with environmental impacts. Curtailing federal funding may:

  1. Jeopardize solar industry jobs jeopardizing over 250,000 clean energy workers nationwide.

  2. Hinder progress toward a net-zero future.

  3. Raise electricity rates, forcing consumers back to costlier energy sources.


How Many Americans Could Be Affected by This Policy Change?

According to recent estimates, halting these grants could directly impact over 1 million homeowners nationwide who are currently on waiting lists for federally funded solar installations. States like California, Texas, and Florida stand to lose the most, given their high concentration of solar grant beneficiaries.


What Can Homeowners Do Now?

For those concerned about losing access to affordable solar and battery backup solutions, there are steps to consider:

  • Check state-level programs. While federal grants are paused, many states continue to offer funding for renewable energy projects.

  • Partner with local solar providers. Some companies provide financing solutions or lease agreements to bridge funding shortfalls.

  • Advocate for policy changes. Grassroots campaigns can pressure lawmakers to reinstate funding and ensure equitable access to clean energy.


Conclusion: Ensuring a Solar-Powered Future Amid Uncertainty

The recent pause in funding for Power Purchase Programs threatens the progress made in securing sustainable and affordable energy solutions for millions of Americans, especially those in vulnerable communities.

As rolling blackouts, wildfires, and climate-related crises continue to batter areas like California, the need for widespread solar and battery backup adoption remains urgent. Ensuring federal and state alignment on renewable energy initiatives will be vital to navigating these challenges.


FAQs on Solar PV, Grants, and Executive Orders

1. What are Power Purchase Programs?

Power Purchase Programs (PPPs) enable homeowners to install solar panels and battery backup systems without paying for the equipment or installation, often funded through federal or state grants and incentives. Once the system is installed the homeowner or business can access cleaner and cheaper electricity with blackout protection.

2. How do battery backup systems work?

Battery backup systems store excess energy from solar panels for use during power outages or at night, ensuring uninterrupted access to electricity.

3. Will I be able to get solar without federal grants?

While solar will still be available, financing or upfront payments may be required if federal grants are halted. State programs or company incentives might provide alternative options.

4. Are rolling blackouts becoming more common in California?

Yes, California has seen an increase in rolling blackouts due to grid strain, wildfires, and climate-related factors.

5. Can I get solar installed for free in California after the funding freeze?

Some homeowners may still qualify for local programs or state-funded initiatives, but availability might be limited without federal backing.

My Solar Solution has a proven track record of navigating challenges in the solar industry, including changes in government policies and funding availability. In the wake of similar uncertainties in the past, the company has consistently demonstrated resilience by identifying and leveraging alternative programs and financial incentives to ensure continued access to solar and battery backup systems for California homeowners and businesses. By staying ahead of policy shifts and fostering strong relationships with grant providers and financing institutions, My Solar Solution has enabled its customers to overcome hurdles like rising costs and regulatory roadblocks. Whether through securing local rebates, state grants, or federal tax credits, the company remains committed to making clean energy solutions accessible and affordable, even in the face of shifting landscapes.

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Hey, I'm Kiara!

I bring over a decade of experience in the solar industry, combined with a background in Journalism, to inform and empower others.

As the founder of the largest virtual solar brokerage in America, my mission is to provide transparency and clarity to the world of renewable energy.


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