After two bruising years of downturns tied to interest rate hikes and material cost increases, Long Island’s solar panel installers are bracing for severe hurt from the spending bill approved by the U.S. Senate on Tuesday.

The bill, which still requires a final vote in the House and could be signed by President Donald Trump on Friday, would eliminate a lucrative federal tax credit for purchased solar systems by the end of this year, removing an incentive for home-owned systems that can cut energy bills down to $17 a month. Leased solar systems would see credits expire by the end of 2027, according to experts following the legislation.

Trump has labeled green-energy initiatives a "scam" and has focused his energy policies on fossil-fuel based energy and nuclear. He also has a history of opposing offshore wind.

On Long Island, where solar has been embraced for more than two decades with nearly one in 10 homes equipped with solar panels, companies on Tuesday offered grim assessments of the legislation's impact. The federal subsidy covers around a third of the $20,000-plus purchase and installation cost, often allowing the systems to pay for themselves in seven years or less.

Not for long, say installers.

"There’s going to be near-term pain," said David Schieren, chief executive of EmPower Solar of Island Park, one of Long Island’s largest installers. "You can’t sugarcoat that. Very few businesses will escape unscathed."

One Ronkonkoma-based solar company is already working to adjust. "Lock in your 30% federal tax credit before it goes away!" screams an online ad for SUNation Solar panel installations. SUNation Chief Executive Scott Maskin said the latest version represents a "dark day" for solar on Long Island.

"The traditional residential installer base will cease to exist" when the tax credits sunset at year end, said Maskin, predicting that only companies that have diversified with other services and products will survive. SUNation services the solar systems of other companies, including a list of those that have failed in the past decade.

"It’s going to be a severe level of hurt," said Kevin Macleod, owner of KPS Solar, a small local solar installer in Bay Shore, predicting a crash for his industry that could hurt the biggest companies with the highest overhead costs first.

On a national level, the Solar Energy Industries Association, an industry trade group, said the Senate bill "undermines the very foundation of America’s manufacturing comeback and global energy leadership."

The industry has been dealing with setbacks for years.

Relatively high interest rates over the past two years have made it more expensive for customers to finance the systems, while higher material costs have driven up prices — factors that have impacted installers. Schieren of EmPower said his residential business was already down by 50% in the last year, though he has seen an upward trend in the commercial sector.

Long Island companies say they will look to New York to make up for the deep federal cuts. The state government now has a standard $5,000 residential tax credit for solar, but solar groups have been pushing for it to be increased to at least $10,000. They also want Gov. Kathy Hochul to double the mandate for solar energy from 10,000 megawatts to 20,000 megawatts by 2035.

"This is an opportunity for Kathy Hochul and New York State to actually contribute to saving jobs in the solar industry. ... [the state] needs to pick up some of this," Maskin said.

Hochul spokesman Ken Lovett said, "No state can single-handedly undo the economic damage this legislation would cause. We urge Congress to reject this reckless and backward step."