Wind and Solar Projected to Account for 16 Percent of U.S. Power Generation This Year: EIA

Electricity generation from wind and solar energy are projected to account for 16 percent of total U.S. generation in 2023, double the level of 8 percent in 2018, according to the U.S. Energy Information Administration. On the other hand, the share of coal and natural gas generation are expected to fall to 18 percent and 38 percent, respectively, compared to 20 percent and 39 percent in 2022. In 2024, coal’s share of U.S. generation is expected to further decline to 17 percent.

One of the most significant shifts in the mix of U.S. electricity generation over the past few years has been the rapid expansion of renewable energy resources, especially solar and wind. At the end of 2022, the U.S. electric power industry had 74 gigawatts (GW) of solar photovoltaic capacity operational, over three times the capacity at the end of 2017; this capacity is expected to increase by 63 GW by the end of 2024. Since 2017, the capacity of U.S. wind power has increased by more than 60 percent, reaching roughly 143 GW while it is forecasted to increase to 160 GW in 2024.

Texas and California, where natural gas has traditionally been the main source of electricity, have seen the most expansion in solar capacity. A rising proportion of renewable energy generation, coupled with the agency’s forecast of lower overall power demand in 2023, displaces some portion of natural gas generation, which is projected to decline to 37 percent in 2024. Additionally, lower natural gas fuel prices makes coal a less competitive source of electricity generation.