The Solar Energy Industries Association (SEIA) has teamed up with Senator Maria Cantwell (D-WA) to push hard for two federal programs that together have the potential to create by 2012 as many as 200,000 new jobs in America.

Senator Cantwell and SEIA head Rhone Resch yesterday made their case, citing a new report commissioned from EuPD Research. The report focuses on the economic impact of: (1) the Department of Treasury Grant Program, which enables businesses that install solar (and other forms of renewable power) to receive, in lieu of tax credits, cash grants worth 30 percent of project costs; and (2) the Solar Manufacturing Investment Tax Credit, a program that extends a 30 percent investment tax credit to manufacturers that make qualifying renewable energy equipment, like solar panels, here in America. Both the renewable energy grant program and the solar manufacturing tax credit were created by Congress under the American Recovery and Reinvestment Act of 2009. The aim was to stimulate the creation of domestic, solar-industry jobs and encourage solar technology development.

The programs, however, are set expire at the end of 2010.

The findings of the Cantwell-SEIA report support the extension of both programs. According to the analysis, implementing both through 2012 would create 200,000 new jobs nationwide, and lead to the installation of another 10 gigawatts (GW) of solar energy systems by 2016 — enough to power 2 million homes.

“The solar industry was one of the bright spots in our economy with the creation of 17,000 new jobs [in 2009],” said Rhone Resch, President and CEO of the SEIA, when speaking in favor of extending both federal programs. “These jobs were created by the Recovery Act, and it’s time for Congress to extend the programs that have given new opportunity for Americans in the solar industry.”

According to the economic impact analysis, California stands to benefit the most in terms of new jobs and added solar capacity. The report notes the Golden State would gain 60,000 news jobs and over 4,400 megawatts of solar installations by 2016.

John Stanton, Vice President of Government Affairs for SolarCity in Foster City, California is another influential voice in the industry that is speaking loudly in favor of extending at least one of the programs. He had the following to say:

“The Treasury Grant Program is essential to keeping project financing—the lifeblood of the solar industry—moving forward. SolarCity has hired more than 300 people in the last 12 months and believe we and others in the industry can continue replacing jobs lost in the recession as long as this critical program [TGP] is extended.”

The fate of the two programs has not yet been decided. According to the SEIA Executive Summary, the extension of both programs would amount to an increase in U.S. investment in solar technologies by $39 billion and create 207,000 new jobs, both by 2016.