
How to Fix Electricity Bills in America
Shift Key with Robinson Meyer and Jesse Jenkins
Barriers to Entry and Market Concentration in the Rooftop Solar Industry
Complicated permitting procedures and high barriers to entry due to navigating complex procedures lead to a lack of competition in the US rooftop solar market, with a few companies dominating the sector. This results in little competition among solar installers who focus on competing with retail prices and utility rates rather than with each other. The market concentration and lack of competition drive prices up, with solar installers aiming to offer savings on electricity bills instead of undercutting each other. As utility rates increase annually, there is no pressure on reducing solar pricing, creating challenges for smaller installers to grow and compete against established players like Sunrun.