(Reuters). Despite the fact that U.S. solar installation jumped 19% in 2017 to surpass a previous record, new capacity is expected to drop by 2022, as developers battle with shipping delays and cost inflation, according to a Thursday industry forecast.

This subdued outlook is despite the fact that the industry lobbying vigorously for Congress’s extension of subsidies that are critical to its growth. Wood Mackenzie’s energy research group and Solar Energy Industries Association, which compiled the report, warned that the country will fall short of President Joe Biden’s target to decarbonize the electricity sector by 2035.

The report shows that solar was responsible for more than half the new U.S. capacity due to strong demand for clean electricity from businesses, utilities and homeowners.

The total number of 23.6 gigawatts installed by the industry was 23.6%. Nearly all of them were large projects for utilities or other big clients. This market segment will see a 14% decline in sales next year due to the increased costs and shortages caused by the coronavirus pandemic.

Reports show that solar energy projects have seen an 18% increase in cost over the last year. This marks a dramatic turnaround for an industry that has had significant price falls in recent years that allowed it to remain competitive with those powered by fossil-fuel-fired sources.

The industry is asking Congress to maintain a 30% tax credit for solar energy projects for 10 years. This would increase the industry’s potential to produce 700 gigawatts in 2032. That compares to 464 GW of capacity without these incentives.

Texas was the most popular state to install solar panels in 2021. Florida, Georgia, Virginia, and California were close behind.