Photovoltaic (PV) cell and module domestic shipments continued their rapid expansion in 2006, in part caused by the new Federal incentive providing tax credits to homes and businesses that install solar systems. The tax credit went into effect in January 2006 as part of the Energy Policy Act of 2005.
The Federal tax credit will reduce taxes for qualifying taxpayers by the full amount of the per Kwh credit and is not based on income. Also affecting PV cell and module domestic shipments were the same factors that impacted growth in solar thermal panel shipments.
