According to a report by the Federal Energy Regulatory Commission (FERC), wind, solar, and battery storage are set to dominate new power capacity additions in the United States, accounting for 82% of all new capacity in 2023.
The report suggests that wind power will lead the way, accounting for 44% of new capacity additions, followed by solar power at 36%, and battery storage at 2%. Natural gas is expected to account for only 21% of new capacity additions, down from 67% in 2018.
The shift towards renewable energy sources can be attributed to declining costs, increased energy efficiency, and policies aimed at reducing carbon emissions. Additionally, the FERC report notes that wind and solar projects have shorter development timelines than traditional power plants, making them more attractive to investors.
The report also predicts that the total installed capacity of wind and solar power in the US will exceed that of coal-fired power plants by 2022. The shift towards renewable energy is expected to create significant job opportunities, with the solar industry alone projected to add over 40,000 jobs in 2021.
The move towards renewable energy sources has been a key focus for the Biden administration, which has set a target of achieving net-zero emissions by 2050. The FERC report indicates that the US is making significant progress towards achieving this goal, with renewable energy sources accounting for over 20% of the country’s electricity generation in 2020.
The shift towards renewable energy is expected to continue in the coming years, as more states and utilities commit to reducing their carbon emissions and transitioning towards clean energy sources.