Solar is the fastest growing source of renewable energy in the U.S. according to a recent report from the Federal Energy Regulatory Commission (FERC).  During 2013, the installed solar capacity grew by 42.8% in the U.S. while the combination of all renewable energy sources now generates 37% of electricity.

That growth was enough to deserve a special mention in Obama’s State of the Union address.  He stated “It’s not just oil and natural gas production that’s booming; we’re becoming a global leader in solar, too,” he said. “Every four minutes, another American home or business goes solar.”

Obama’s claim came from information provided by Greentech Media (GTM) who collects data of solar installations from utility companies and state agencies on a quarterly basis.  Their research currently includes 28 states which represent about 97% of the market.

While solar generation of electricity has grown tremendously over the past few years, solar power only accounted for 0.2 percent of the U.S. electricity supply in the first nine months of 2013, according to data published by the U.S. Government’s Energy Information Administration.  That number is up from 0.02 percent in 2008.

Since 2008 electricity has continued to get more expensive with the electricity price index now at an all-time high. Expensive electricity, combined with reductions in solar energy installation costs, has helped spur the growth in the solar market.

With the announcement on March 3, 2014 from President Obama that the Investment Tax Credit (ITC) will be removed from U.S. solar projects at the end of 2016, the leading role of the U.S. in solar could be at risk.  Based on that announcement, we could see a rush to claim the credit during the next two years.  As with all taxes and tax incentives, there could be a change between now and the end of 2016.

What we know for certain is that solar energy is gaining traction in the U.S. and its growth seems to be on a trajectory that will make it available to almost every home owner.