Solar Industry Changes and What to Expect in 2026

There’s nothing more certain in life than change. With an industry as young as solar, yearly change is an inevitability and nothing new. As usual, our team is here to give you information and guidance in navigating this year’s newest changes. From tax credits ending to FEOC rules emerging, here are some of the top headlines to help you stay informed as you begin or continue your solar projects. 

After the “One Big Beautiful Bill Act” ended the federal tax credits for residential solar installations, you may be wondering how this will affect prices. While there are many factors involved in the pricing of solar equipment, it’s possible the tax credits may not have as big of an effect as you think.

The reason is that when solar equipment suppliers set their prices, they may take into consideration things like tax credits, pricing higher knowing that consumers will be attracted by the discount. Without the credits to attract people, they’re incentivized to reduce their margins to keep prices as stable as possible. 

If you’ve purchased from NAZ Solar Electric, you’ll know that we strive to maintain the lowest possible prices for the highest possible value regardless of state or federal incentive programs. We believe in the value of solar investment, and we want to make sure as many people as possible have access to energy independence. 

Foreign Entity of Concern (FEOC) compliance requires commercial, industrial, and third-party owned (TPO) projects to be free of “material assistance” from countries deemed threatening to US interests. These may include China, Russia, Iran, and North Korea.  

This means that if any of a project’s parts come from one of those countries, they will no longer qualify for the 30% tax credits which are still in effect for C&I solar projects. So the short answer as to how this affects DIY and residential projects is—not much.  

FEOC compliance may affect you indirectly by impacting the supply chain. And if you are participating in a third-party solar solution, your provider will be working hard to maintain FEOC compliance. However, for your independent, residential projects, you aren’t likely to notice any impact from these rules.

One of the goals of the FEOC guidelines is to increase US-based production. As a trusted solar distributor, we only partner with manufacturers we trust to provide high-quality, innovative products. The following brands strive for US production and FEOC compliance:

• Sol-Ark emphasizes US production and is actively educating customers on FEOC compliance.
• REC Solar Panels are based out of Singapore and therefore positioned to avoid FEOC restrictions
• Pytes is actively working to keep customers informed about their products.
• Homegrid’s sister company is in the process of launching a fully FEOC-compliant new energy system mid-year.

Our NAZ Solar Electric team is happy to help you find the highest quality solar equipment and components for your project at the lowest possible price. Give us a call to get an estimate or talk about your project. 

Right now, examining the tariffs themselves can’t really predict changes in the solar market. The only thing we do know is that uncertainty in any market tends to drive prices up. We also know that with tariffs and trade deals changing shape this year, this element of change will be with us for a while.  

Because they are just one of many factors that shape and balance the market, there’s no sense trying to guess at the best time to purchase solar products based on tariffs.

Some things remain constant and help to balance out the uncertainty in the industry. When deciding how to invest in solar, it helps to remember these fundamental truths: 

Whatever your up-front investment, broken down over time, solar is still the best way to lower and stabilize your utility costs. Grid-based electricity is subject to continuous market uncertainty and fluctuation; and while the long-term cost of solar has consistently trended downward over the years, the cost of on-grid electricity has gone up.  

Just because the federal Investment Tax Credit for residential solar projects has ended doesn’t mean there are no more incentives. You can check with your state and local databases to find information on tax credits, rebates, and other incentives. You can explore the Solar Industries Energy Association website for state-by-state information on tax exemptions and incentives. Or reach out to us for help navigating these complexities and working with your electric company.  

For over 45 years, we’ve worked with residential and commercial customers to bring solar to homes, communities, and businesses. We’ve been through supply chain disruptions, policy changes, and market insecurities; we’ve witnessed incredible innovations in solar panel efficiencies, battery capacities, and affordability.  

Through it all, we’ve remained a trusted resource for our customers and installer partners, helping with everything from sourcing to system design. Our position is strong, and we continue to dedicate ourselves to helping our customers plug into solar. 

Yes, investing in solar is the smart move right now for year-over-year savings. There will always be factors beyond our control, but one thing we at NAZ Solar Electric can guarantee is that our prices today are as low as they can be, and our engineers are ready to help you design, implement, and maintain your off-grid or grid-tied solar power system whenever you’re ready.

Need help? Contact our Sales Engineers. 
sales@solar-electric.com 
1.800.383.0195