The Sun in Their Eyes
Why America’s Energy Strategy Is Breaking from Europe’s
If you're easily distracted by shiny objects—or short-term political thinking—you might think the “Big Beautiful Bill” just blindsided the solar industry.
But look closer.
For years, solar’s been the darling of the clean energy world: fast, cheap, abundant, democratic. And for a while, it looked like Europe and the U.S. were rowing in the same direction. Not anymore.
While Europe leans back into nuclear and pulls subsidies from solar (Germany shut down its last three reactors in 2023 before facing energy supply pressures), the U.S. is taking a different tack—quietly and deliberately.
The latest legislation—call it what you will—did something unexpected: it rolled back many consumer-facing renewable subsidies. But here’s the kicker—it kept and expanded support for domestic solar manufacturing.
So What Just Happened?
Solar isn’t going away. It’s just getting a new job.
Let’s look at the facts:
Solar panel costs have dropped nearly 90% globally since 2010.
Utility-scale solar in the U.S. now averages around $0.03–$0.04/kWh, the lowest of all new generation sources.
Residential solar installs are faster and more flexible than nearly any other energy form.
Compared to that:
Wind needs land, long lead times, and faces community pushback.
Geothermal is geographically constrained and capital-intensive.
CNG (compressed natural gas) is cleaner than coal but still tied to fossil fuel infrastructure.
Nuclear is reliable—but takes a decade+ to develop and faces immense regulatory friction.
Solar wins—by a wide margin. Even with shifting subsidies, it’s still the most efficient path forward.
Because the Game Just Changed
Cutting rooftop solar subsidies might look like a hit—but this isn’t a retreat. It’s a reframe.
Here’s what the bill is actually doing:
Curtailing tax credits for residential and imported solar systems
Preserving—and in some cases boosting—support for U.S.-based solar manufacturers
Redirecting clean energy support toward reshoring and industrial production rather than rapid deployment
This is about control and leverage.
The U.S. wants to stop importing 80–90% of its solar panels from China and instead onshore production, create jobs, and tie energy security to domestic manufacturing.
This isn’t about discouraging solar. It’s about owning the next chapter of it.
Meanwhile, Over in Europe…
Germany’s energy policy has been whiplash-inducing. After closing its nuclear fleet, it leaned heavily on solar and wind—only to backtrack under energy cost pressure following Russia’s invasion of Ukraine.
Now:
Germany and others are reopening the door to nuclear, especially small modular reactors (SMRs)
Solar subsidies are being cut in some regions, and new installations are slowing amid grid bottlenecks and rising costs
Europe is emphasizing energy stability over aggressive renewable expansion in the short term
In short: Europe’s turning cautious. America’s turning industrial.
This is why the U.S. no longer needs to subsidize demand—it’s focusing on controlling supply.
What the “Big Beautiful Bill” Really Says
Rooftop solar for consumers? Scaled back.
Solar for American factories and workers? All systems go.
Long-term energy independence? That’s the real objective.
“Drill, baby, drill” might now refer to lithium, cobalt, and polysilicon—not crude oil.
And while Europe tries to stabilize a patchwork of climate and energy policies, the U.S. is betting on clean energy through the lens of industrial strategy and geopolitical leverage.
Final Thought
This isn’t solar fading out. It’s solar maturing.
The U.S. isn’t just chasing decarbonization anymore. It’s fusing clean energy, manufacturing, and national security into one strategy.
We’re not backing off.
We’re building differently.