What is Happening?
Last month, the One Big Beautiful Bill was introduced and passed in the U.S. House of Representatives. Among its many provisions, the bill calls for a full repeal of the 30% Federal Solar Investment Tax Credit (25D) after December 31, 2025.
The bill now heads to the Senate, with a vote anticipated around July 4th — making the coming weeks critical for clean energy advocacy. If the bill passes as written, the 30% solar tax credit would be eliminated starting in 2026. This change could put over 300,000 U.S. jobs at risk and accelerate rising electricity prices.
North Carolina is a pivotal state in the national effort to protect clean energy tax credits. Senator Thom Tillis has voiced opposition to these credits, and as a Republican lawmaker, his vote could play a decisive role in the outcome.
Thinking About Going Solar?
With the 30% Solar Tax Credit at risk, and PowerPair reaching capacity, we’re already seeing a wave of homeowners looking to lock in their systems before any changes take effect. If you’re considering solar, now’s a great time to start planning, especially if you are:
- Building a new or custom home: Start early. Designing with solar in mind now can save time, money, and stress later. Reach out to one of our designers and we can talk through options based on your construction timeline.
- Thinking about upgrades: If you’ve been considering solar plus battery storage, keep in mind the process to have your system placed in service from start to finish will take several weeks to months depending on our install backlog.
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Wanting to install this fall or winter: We’re expecting our schedule to fill fast in Q4. Waiting too long could mean missing out on available slots – or the full 30% credit. Try to get your proposal finalized and signed by the end of summer.
What Is the 30% Tax Credit and What Does It Support?
The Residential Clean Energy Credit is a dollar-for-dollar credit (this is different from a deduction, like Goodwill) on your federal tax liability. You can claim this in the tax year when this system is installed — when you install a solar energy system and/or battery storage on your property. It’s one of the most impactful tools available for making solar energy more affordable for homeowners.
Supporting the solar tax credit, is supporting:
“Solar installer” was the #2 fastest-growing job title in the U.S. in 2024. In NC, clean energy jobs are growing 1.7x faster than the overall state economy.
At Southern Energy we are proud to be part of that momentum, employing 200 full time team members who receive full benefits and are genuinely valued, supported, and celebrated as part of our mission-driven team.
We are looking at a future where energy supply will be unable to meet energy demand. We’ve already experienced rolling brown outs due to this increasing demand.
North Carolina has already created one of the most successful virtual power plant programs in the country through the PowerPair program because of the collaborative relationship between residential solar installers and Duke Energy. This is a clear example of North Carolina leading the way towards energy innovation to address rising grid demand.
A 2024 poll by Conservatives for Clean Energy found that nearly 80% of NC voters support modernizing energy laws to allow more competition with Duke Energy. The poll reported: “This is almost universal support with no partisan political divide”.
It’s clear that North Carolinians want energy choices. The 30% Solar Tax Credit provides a pathway for more homeowners to realize this choice.
Solar isn’t just great for the environment, it’s a smart long-term investment. The 30% Solar Tax Credit helps offset a significant portion of your total system cost, making it easier to invest in clean, renewable energy for your home.
Want to understand the numbers? Read our breakdown →
Rising energy demand from data centers and AI needs fast, affordable solutions like solar and energy efficiency. NC solutions like Duke Energy’s PowerPair Program are prime examples of how we can meet that energy need. Without these credits, innovative programs like that will be handicapped right when we need them most.
Unlike other states, NC doesn’t allow third-party solar ownership for homeowners. We depend entirely on the 25D Residential Tax Credit. Without it, there’s no fallback for local installers or customers. Cutting this credit would hit hardest in states like ours, where clean energy adoption is strong with growing manufacturing, installation, and service industries at stake.
Thousands of NC homeowners and businesses with existing solar systems will be stranded when many solar installers exit the market. With fewer solar providers available, there will be limited availability to service those customers. Those who rely on a long-term warranty will be left without coverage if their installer goes out of business – as we’ve seen when national solar companies have left the market.
North Carolina ranks 4th in the U.S. for solar adoption. Sudden cuts to this credit would threaten over $21.5 billion in planned investment and up to 123,000 projected jobs.
Businesses like ours have built growth strategies with the understanding that these credits would remain in place for their intended timeline. Eliminating the 30% Solar Tax Credit would pull the rug out from under local businesses, leaving little time to adjust or respond.
As several clean energy CEOs (including our very own Will Etheridge) recently told the Triangle Business Journal, this bill is being viewed as “an investment killer” across the industry. Read the article →
Solar energy plays a key role in tackling climate change while providing a path for a more resilient energy future. It cuts carbon emissions by replacing fossil fuels with clean, renewable power. In 2024 alone, our new customers offset 2,712,684 pounds of CO2 (that’s like planting 31,550 tree seedlings!).
Reducing carbon emissions keeps us on track toward state and national climate goals – while paving a brighter future for generations to come.
What Can You Do?
Southern Energy Management stands with, not against. Traditionally, we have stayed out of the political world, but now we’re being pulled in because this is something we believe is critically important – not only for our business but for our industry, our world, and our futures. We’re not just sitting on the sidelines.
If any of the points above resonate with you, we’re asking that you join us. Here are 3 simple ways to take action:
1. Reach Out to Our Senators
This is the most important thing you can do. A quick and respectful email with some personal words or a call makes a big difference.
Key NC Senators to Reach Out To
Senator Thom Tillis
Via: Harrison Walker, Senior Policy Advisor
Harrison_walker@tillis.senate.gov
Senator Ted Budd
Via: Charlie Hobbs, Legislative Assistant
Charlie_hobbs@budd.senate.gov
Sample script:
Hi, my name is [name], and I’m calling from [town]. I’m urging the Senator to protect the 25D tax credit. The current proposal from the House would eliminate the credit at the end of 2025, which would make it harder for families like mine to afford solar, put thousands of clean energy jobs at risk in our state, and likely drive electricity costs even higher.
(Add your own solar story here — share why you decided to install solar or how the tax credit has made or would make a difference for you.)
Please help protect this important clean energy incentive to support our economy, local jobs, and keep energy bills manageable for North Carolinians. Thanks so much.
2. Share Your Story
If you’ve already installed solar, we’d love to hear how the tax credit helped you make that decision. Your voice can help show lawmakers this credit is working exactly the way it was meant to.
Tag us in your social posts or send your story to shine@southern-energy.com for us to share and spotlight solar’s impact.
3. Spread the Word
Use the hashtag #Save25D on social media, tag your Senators, talk to your neighbors, and keep this conversation going.
The more noise we make, the more likely we are to be heard.
Other efforts
Solar companies are coming together
Over 1,500 solar companies nationwide are standing up for the credit. Read the letter →
Builders agree
The National Association of Home Builders supports keeping the credit strong. Read their statement →
We’re in This Together
Southern Energy Management is working side-by-side with partners, industry coalitions, and lawmakers to defend the 30% Solar Tax Credit. We’re advocating at every level to make sure this policy isn’t quietly erased.
Need help contacting your representatives or sharing your story? Reach out to our team — we’ll make it easy.
