
A federal proposal now moving through Congress could stall Michigan’s booming rooftop solar industry by ending tax credits that have fueled clean energy growth nationwide.
What’s being called the “One Big Beautiful Bill Act” would eliminate the 30% credit for rooftop solar and other home energy systems, including those leased by companies.
Michigan leads the nation in Inflation Reduction Act-funded projects, attracting more than $27 billion in investment and creating more than 26,000 jobs. Allan O’Shea, CEO of CBS Solar in Manistee County, says about 90% of his family-owned business is residential rooftop solar.
“That 90% would lose one of the benefits that go with solar, and that’s 30% tax credit,” O’Shea said. “The other 10% of our business is commercial and it would still survive, but the damage would be done. We’re talking 25-plus employees here.”
O’Shea says he sent a heartfelt letter to most senators, expressing concerns about the bill’s impact on his livelihood and the livelihoods of others.
Supporters of the big tax-cut and spending bill argue that it would boost the economy and strengthen national security. In 2023, solar power jumped 51% nationwide, with solar making up more than half of all the new electricity added to the grid.