In June 2023, U.S. solar manufacturer Qcells made a notable stride by becoming the second company globally to register its solar panels with EPEAT, a sustainability labeling system for electronics, which ensures high sustainability standards, including a cap on carbon emissions from manufacturing. This achievement triggered a critical regulation that requires federal agencies to procure EPEAT-certified solar panels, a move designed to drive forward the nation’s commitment to environmental sustainability. However, the current market only features six EPEAT-registered solar panels and lacks any EPEAT-registered solar inverters, thus posing substantial limitations for federal agencies like NASA in their quest for sustainable solar solutions.
To address this considerable gap, the Department of Energy (DOE) launched an ambitious initiative in October 2023. This initiative, known as the “Promoting Registration of Inverters and Modules with Ecolabel” (PRIME) Prize, provides up to $450,000 to U.S.-based solar panel and inverter manufacturers who meet the EPEAT certification standards. This strategic move by the DOE seeks to incentivize manufacturers to adopt efficient processes, use sustainable materials, adhere to fair labor practices, and employ low-carbon energy in their production processes, thereby enhancing the sustainability of the domestic solar manufacturing sector.
Importance of Sustainable Solar Panels
Solar panels play a crucial role in mitigating climate change by converting sunlight into electricity without emitting greenhouse gases. To reach net-zero emissions by 2050, the International Energy Agency estimates that 630 gigawatts of new solar power must be added annually by 2030, a significant increase from the 135 gigawatts installed in 2020. However, the environmental friendliness of solar panels varies significantly. Polysilicon, essential for making sunlight-harvesting cells in silicon panels, is produced via an energy-intensive process often dependent on fossil fuels. Moreover, the aluminum frames used to hold these panels are typically smelted in China using coal-powered electricity, exacerbating carbon emissions. Manufacturing processes for these materials also require substantial energy input, further increasing their carbon footprint.
To address these environmental impacts, companies need to scrutinize their supply chains rigorously and make significant clean-up efforts. The DOE’s PRIME Prize encourages this by promoting the EPEAT registration process, which sets stringent criteria across four thematic areas: climate change, resource sustainability, hazardous chemicals, and responsible supply chains. Depending on the number of standards a manufacturer meets, it can achieve an EPEAT Bronze, Silver, or Gold designation. Additionally, since June 2023, EPEAT-registered solar panels must adhere to the industry’s inaugural embodied carbon criteria, capping emissions at 630 kilograms of CO2 per kilowatt of power produced—25 percent less than the global average. Panels that emit below 400 kilograms of CO2 per kilowatt can earn a special EPEAT Climate+ designation, representing the highest environmental standards.
Challenges and Progress in EPEAT Certification
The rigorous criteria for EPEAT certification may explain why currently only Qcells and Arizona-based First Solar are listed on the EPEAT registry. First Solar’s Climate+ distinction is limited to just two solar panels. Earning this certification entails a demanding, multi-year process involving substantial data collection and third-party audits, as demonstrated by Qcells’ two-year certification journey for its panels manufactured in Dalton, Georgia.
The Federal Acquisition Regulation now mandates federal purchasing of EPEAT-registered products, further incentivizing manufacturers. The DOE’s PRIME Prize aims to offset the significant costs of the certification process, offering $50,000 for starting registration and up to $100,000 per product for up to four products achieving certification—a vital support given the financial and resource demands of meeting these standards.
Certified companies reevaluate their supply chains, potentially switching to low-carbon polysilicon suppliers or opting for recycled steel frames over virgin aluminum ones, as Qcells has done by sourcing polysilicon from a hydro-powered facility in Washington state. Such changes, while costly and time-consuming, align with EPEAT’s requirements for recycled content and lower carbon footprints.
Industry Incentives and Future Directions
The combined effect of federal mandates, the PRIME Prize, and consumer interest in sustainable manufacturing is fostering a new drive among U.S. solar companies to meet high sustainability standards. The necessity for federal conformity to EPEAT standards, along with monetary incentives, is expected to catalyze broader industry adoption.
The DOE and stakeholders like the Global Electronics Council are optimistic about increased EPEAT registrations. The evolving regulatory landscape, along with increased transparency in supply chains, signals a broader industry shift toward environmentally responsible solar panel production.
Erik Petersen, chief strategy officer at Origami Solar, highlights the convergence of federal initiatives and consumer demands as pivotal for industry realignment towards sustainable practices. This momentum is anticipated to drive continued innovation and compliance in cleaner solar manufacturing processes.
Conclusion
The DOE’s initiative to promote greener solar panels through the EPEAT certification is a multifaceted approach to ensure that the rapid expansion of solar energy infrastructure aligns with broader environmental goals. With stringent criteria in place and substantial federal incentives, the initiative seeks to address the carbon intensity of solar panel manufacturing, thus contributing to global climate objectives.
As domestic solar manufacturing ramps up, the combined forces of federal policy, consumer demand, and financial incentives are expected to drive the sector toward more sustainable practices. The early challenges faced by pioneers like Qcells and First Solar underscore the complexities and resource demands of this transition. Nonetheless, the broader industry push for adhering to stringent sustainability standards holds promise for achieving significant reductions in carbon emissions and other environmental impacts from solar energy production. The DOE’s PRIME Prize serves as a crucial catalyst in this transformative period, providing the necessary support for manufacturers to innovate and comply with EPEAT’s rigorous requirements. By fostering a cleaner, more sustainable solar industry, the initiative aligns with long-term environmental goals, ultimately supporting the transition to a low-carbon future.
