Florida’s solar energy landscape is poised for significant growth in 2025 and the years ahead, driven by technological advancements, supportive policies, and increasing consumer demand.
At Urban Solar, we’re keeping a close eye on these developments, and we want to share with you what we’re noticing as these dynamics change over time. For homeowners and businesses alike, 2025 could be a pivotal year to harness solar power—not just for sustainability, but for serious financial savings.
Rising Solar Capacity
Florida installed 3.1 gigawatts (GW) of solar capacity in 2024, just shy of the record 3.2 GW installed in 2023, making it the second-leading state in the nation for new solar installations (Renewable Energy World). Projections show Florida will add nearly 20 GW of new solar capacity in the next five years.
What this means for you:
As more solar systems go online, the market becomes increasingly competitive—often resulting in lower installation costs and better equipment options. Newer technology and expanded installer networks can give you access to high-efficiency panels and competitive quotes.
For businesses, growing solar infrastructure means more stable long-term energy costs and enhanced sustainability credentials.
Economic Incentives and Cost Savings
Thanks to the federal Investment Tax Credit (ITC), you can still receive a 30% tax credit on the cost of a solar system through 2032. On top of that, Florida offers a sales tax exemption and excludes the added value of a solar system from property tax assessments (Forbes).
What this means for you:
If you’re a homeowner, these incentives can shave thousands off the upfront cost of your solar array.
For commercial buyers, this creates an opportunity for a quicker return on investment—especially when paired with commercial depreciation benefits. And with electricity rates continuing to fluctuate, locking in your energy costs with solar becomes an increasingly smart long-term strategy.
Utility Commitments to Renewable Energy
Florida Power & Light (FPL), the state’s largest utility, has committed to reaching “Real Zero” emissions by 2045. Its plans include 90,000 MW of solar and 50,000 MW of battery storage (Renewable Energy World).
What this means for you:
Utilities investing in renewables signal a shift toward cleaner infrastructure.
As grid-connected solar becomes more prominent, programs such as net metering or time-of-use billing may evolve, offering new ways for solar customers to save or even earn on excess generation. Plus, utilities embracing solar may offer smoother interconnection and support processes.
Challenges and Considerations
Despite the growth, Florida still relies heavily on fossil fuels, with more than 80% of electricity generation coming from non-renewables (Reuters). Additionally, aging grid infrastructure must be modernized to fully support a decentralized energy system.
What this means for you:
It’s important to choose experienced solar installers who can help you navigate permitting, grid interconnection, and backup power solutions. Consider hybrid systems with battery storage for greater resilience—especially in storm-prone regions of Florida.
Key Takeaways
For Florida homeowners and business owners, 2025 represents more than a sunny forecast; it’s a strategic time to go solar.
With ample incentives, growing solar capacity, and a changing energy landscape, now is the time to explore how solar power can lower your bills, increase your energy independence, and add long-term value to your property.
Learn more about how Urban Solar can help. Contact us now, and let’s work together to make 2025 a banner year for you.