The United States is projected to add 42,971 megawatts of utility-scale solar capacity in 2026, according to the U.S. Energy Information Administration. This projection represents a 45% increase compared to the capacity installed in 2025.

Between January and May 2026, 9,070 megawatts of utility-scale solar capacity were constructed. An additional 33,901 megawatts are expected to be completed in the second half of 2026, from June to December. Developers have plans to build 42,875 megawatts of utility-scale solar in 2027.

Chris Bullinger, president and CEO of Hecate Energy, a Chicago-based firm co-founded in 2012, stated that utility-scale solar is performing favorably. Annual utility-scale solar projects in the U.S. first surpassed 10,000 megawatts in 2020. "Utility-scale solar is doing very well right now," Bullinger said. He also identified Texas, Illinois, and New Mexico as the most attractive states for solar investment; Texas leads the U.S. solar market.

Trent Mostaert, a vice president at M.A. Mortenson Co., a Minneapolis-based engineering and construction firm, commented on the current conditions in the industry. "I would put this right up there with the best of times," Mostaert said. He noted that connecting to the grid, addressing policy uncertainty, and mobilizing a skilled workforce are the primary challenges for utility-scale solar.

President Joe Biden signed the Inflation Reduction Act in 2022, which included an extension of clean energy tax credits. However, President Donald Trump signed the One Big Beautiful Bill Act in 2025, which initiated a rapid phaseout of some clean energy tax credits, including those for utility-scale solar development. Projects must have begun construction by July 4, 2026, and be completed by 2030 to qualify for these tax credits under the One Big Beautiful Bill Act. Solar panels in the U.S. cost more than in other regions, partly due to tariffs that have been in place for over a decade, with most panels imported from Southeast Asia.

Sylvia Leyva Martinez, research director for Americas power and renewables at Wood Mackenzie, said, "Larger, well-capitalized players have a natural advantage in procurement and financing." She added, "Developers who have been efficient planners, built strong supplier relationships, and are disciplined about documentation and compliance will also show a higher success rate of their projects." Martinez said, "Gas has its own lead time and cost constraints, so in practice we're seeing gas and solar-plus-storage being developed in parallel to meet the same wave of demand, not one replacing the other."