Solar energy production from small-scale systems, which have a capacity of less than 1 megawatt, has significantly increased in the United States over the past decade. This production has risen from 18,812 GWh in 2012 to 92,979 GWh in 2022.
Leading States in Solar Energy Production
Among various states, California leads with 37 percent of the total small-scale solar energy production in the United States in 2025. The production of this state has grown by 8 percent from 34,411 GWh in 2025. This increase is mainly due to capacity growth and technology improvements.
Read more: Changes in the marine fuel market due to Middle Eastern conflicts
Arizona ranks second with over 6 percent of total solar energy production, or 5,795 GWh. While the year-over-year growth in production in Arizona has only been 6 percent, the largest increase between 2022 and 2023 was recorded at 22 percent. Other important states in this area include Florida and Texas, which have seen rapid growth in small-scale solar energy production over the past decade.
Factors Influencing Solar Energy Production Growth
Supportive programs such as the Net Energy Metering (NEM) 2.0 program in California, which was active until April 2023, have been a significant factor in increasing solar energy production. This program allows users to benefit from higher rates for their excess energy. Similar programs in other states have also contributed to capacity growth.
In New York, despite being located in an area with fewer solar resources, improvements in technology and government incentives have made it the fifth-largest solar energy producer. This significant growth is also observed in other states like New Jersey, Massachusetts, and Illinois, which are following similar programs.
Despite the year-over-year growth in solar energy production, the rate of this growth has decreased since 2022. This indicates challenges and limitations that may affect small-scale solar energy production in the future.
Read more: Resilience of Iran's economy against sanctions and growth forecast in 2027 · India launches its first electronic methanol production facility at the Dindayal port
