Solar Energy Investments Continue

by Michael Heumann | Jan 27, 2026 | Renewables/DER

While The Fusion Report generally focuses on the development of fusion energy, We believe that investment in other green energy sources is also positive news for fusion energy. Why? For the simple fact that no matter what type of energy you prefer, a single source of energy is not enough to support the energy needs of the US, let alone the world. This is one of the realities that, for better or worse, has shown itself to be true during the second Trump administration. We cannot select winners in energy just because we prefer their carbon footprint (or lack thereof).

The Rise of Solar Energy’s Grid-Scale Implementation

Which brings us to today's story. In both residential and industrial applications, the impact of solar energy continues to be one of the dominant forms of new energy generation installations. Solar energy, once a fringe alternative, is now a growing source of the global power system. With costs continuing to fall and installations (especially grid-scale instances) soaring, solar energy is becoming the darling of new energy generation. This transformation is more than just installing panels on rooftops. In 2025 and 2026, a wave of technological breakthroughs, market forces, and policy shifts is propelling solar energy into a new role as a dispatchable power source. We will look at several reasons that have helped solar energy grow.

Solar: The fastest source of dispatchable energy today. One of the greatest factors that favors solar is the rapidity and scale in which it can be deployed. Solar is by far the fastest new energy source available today for grid-scale deployments. With time scales from 12 to 24 months, grid scale solar implementations are twice as fast as the next greatest competitor, natural gas turbine systems. By far and away, one of the greatest factors favoring solar is its modularity. This factor rapidly speeds up the deployment of solar’s energy resources far more than any other competing energy resource.

Battery Energy Storage Systems: Solar energy's greatest historical shortcoming - its lack of dispatchability –  is no longer the obstacle that it once was. Utility-scale battery energy storage systems (BESS) are being deployed globally to smooth out solar’s peaks and troughs, enabling grids to absorb more renewables without destabilizing power supply. Breakthroughs in storage,  from advanced lithium-ion to emerging chemistries like sodium-ion and iron-air, are extending discharge times and lowering costs. Smart algorithms optimize how and when energy is stored or discharged, shrinking bills and balancing grid demand.

Breakthroughs in Photovoltaic Solar Technologies: Advances in photovoltaic (PV) technologies are one of the reasons for solar’s rise. Traditional silicon solar panels remain dominant, but they’re being joined by cutting-edge designs that push efficiency and expand where — and how — solar can be used. These new technologies include:

  • Bifacial panels, capturing sunlight from both the front and back, are boosting energy yields by double-digit percentages in ideal conditions, especially on reflective surfaces.
  • Perovskite and tandem cells, particularly silicon-perovskite combinations, are rapidly closing in on record efficiencies, offering the promise of more power without expanding panel area.
  • Transparent solar coatings and building-integrated photovoltaics (BIPV) are transforming architectural surfaces, windows, facades, and rooftops, into energy generators, blending aesthetics with utility.

Some researchers are even exploring space-based solar power, a futuristic concept that could one day deliver constant energy from orbit. This era of innovation reflects more than incremental improvements — it’s a shift toward highly efficient, flexible, and context-adaptive solar solutions that go far beyond what early adopters imagined.

Solar’s Global Footprint: Markets and Momentum

Solar is no longer confined to sun-rich regions. According to industry reports, solar and wind together surpassed fossil fuels for the first time in the European Union’s electricity mix, with solar alone contributing double-digit percentages of power, a milestone in the shift away from coal. At the same time, countries like China continue to scale installations at record pace, shaping solar’s global trajectory and contributing to a broader energy transition. Meanwhile, ambitious renewable goals in the Middle East — including major solar capacity additions and battery projects — highlight how nations historically reliant on oil are pivoting toward clean energy.

Why Is This Important For Fusion Energy?

While fusion energy has significant differences from solar energy, it also has many similar attributes. Key among these is modularity, which allows components to be mass-produced offsite, speeding up deployment. Fusion's lack of emissions is also a positive in a planet concerned with environmental impacts. Finally, the lack of low operating costs makes fusion energy (like solar energy) highly attractive from an economic standpoint. Maximizing these values will be a key factor for fusion energy's future success, particularly against existing energy resources.