Nextracker just set a milestone in US clean energy manufacturing: It has delivered the first-ever solar trackers expected to meet 100% domestic content requirements under the Inflation Reduction Act (IRA).
These US-made trackers are now on their way to power SB Energy’s Pelican’s Jaw solar project in Kern County, California. (Solar trackers, typically used in commercial, ground-mounted arrays, help maximize solar production by following the sun throughout the day.)
Pelican’s Jaw, a 570 MW solar farm paired with 954 MWh of energy storage, is being built by SOLV Energy and highlights a turning point for renewable energy manufacturing in the US. By achieving 100% domestic content value, Nextracker is proving that large-scale clean energy projects can source critical components entirely within the US.
Domestic supply chain
Fremont, California-headquartered Nextracker’s move to ramp up US manufacturing started in 2021 as the company sought to overcome global supply chain disruptions caused by the pandemic. With its manufacturing partners, it’s expanded or launched over 25 factories across the US, creating an annual production capacity of over 30 GW.
Nextracker’s localized approach ensures compliance with IRA incentives and also reduces lead times, improves shipping logistics, and cuts emissions.
Under the IRA, clean energy projects are awarded a 30% Investment Tax Credit. Another 10% can be applied to projects that meet domestic content requirements, and a further 10% can be added to projects installed in eligible Energy Communities.
Nextracker’s founder and CEO, Dan Shugar, said, “By focusing our manufacturing partnerships close to customer project sites, we secure the supply chain and provide on-time delivery and cost savings for project development. We’re also significantly decarbonizing our products with US-made clean steel.”
US jobs and renewable energy
The Pelican’s Jaw project is just the beginning for these made-in-the-US solar trackers. SB Energy co-CEO Abhijeet Sathe called Nextracker’s achievement a big win for the US manufacturing sector and renewable energy projects alike. “Our Pelican’s Jaw project will be the first to utilize Nextracker’s 100% US domestic content solar trackers. We applaud Nextracker for creating high-paying manufacturing jobs and strengthening supply security.”
Solar power has become the leading source of new power generation, creating well-paid jobs both in the US and globally, according to the International Energy Agency. The American Clean Power Association reports that the US solar industry supported 279,000 jobs in 2023, with growth concentrated in states like California, Texas, Pennsylvania, and Tennessee.
Electrek’s Take
Two of the IRA’s main aims are to stimulate renewable energy growth and domestic manufacturing, and Nextracker is one of many US companies that exemplify both of those aims. The IRA’s importance and impact can’t be understated.
It’s been such a pleasure to report on all the milestones that have been achieved as a result of the passage of the IRA over the last few years. It’s been nothing short of mind-blowing, and the Biden administration doesn’t get the credit it deserves for the IRA.
Donald Trump has called the IRA the “greatest scam in history,” and any IRA rules that the Treasury Department doesn’t finalize before January 20 will be fair game to be canceled or changed by the new administration. I find this prospect infuriating and hope the red state legislators, where 80% of the IRA benefits are being reaped, exercise their common sense and do what’s right for their constituents.
Read more: California to step up with an EV rebate if Trump kills the $7,500 federal tax credit
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