A lot happened in the solar industry and we're here to make sense of it all. The Environmental Protection Agency's new proposal to reduce CO2 emissions by 25% by 2020 and 30% by 2030 from 2005 levels has put cap and trade back on the table but it may not help solar as much as you think. 

What will impact the industry is a trade war with China, which will increase costs for companies like SolarCity (Nasdaq: SCTY), who buys panels from companies like Trina Solar (NYSE: TSL). SolarCity will adjust but Trina will lose a major demand source without a negotiated solution. 

The beneficiary is SunPower (Nasdaq: SPWR), who suddenly became more economical versus competitors. 

To top it off, SunPower and SunEdison (NYSE: SUNE) are setting themselves up for growth by selling debt. Find out more in the slideshow below. 

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Travis Hoium manages an account that owns shares of SunPower and is personally long shares and options. The Motley Fool recommends SolarCity. The Motley Fool owns shares of SolarCity. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.