The US Energy Information Administration projects solar power and battery storage to dominate new utility-scale electric-generating capacity in the country this year with an 81% share. Solar will reportedly control 58% of the mix, while battery storage will account for 23%.
As per the agency’s latest Preliminary Monthly Electric Generator Inventory, the US will witness an upsurge of 62.8 gigawatts (GW) in new utility-scale electric-generating capacity in 2024. It indicates a 55% capacity growth compared to the 40.4 GW addition in 2023, which was the highest record since 2003.
Solar electricity generation to hit a new high this year
Solar power is expected to hit a record year in new utility-scale electric-generating capacity this year. As per the EIA’s forecast, 36.4 GW of new utility-scale solar electric generating capacity is coming online this year. It represents an almost twofold growth from the prior year’s 18.4 GW addition, which is already a record breaker for annual utility-scale solar deployment in the country.
It is also worth noting that three states alone will yield more than 50% of the forecasted new utility-scale solar capacity, including Texas (35), California (10%), and Florida (6%).
In Nevada, the 690 MW Gemini solar facility (with 380 MW battery storage capacity) is on track to advance as the country’s largest solar farm once it goes live this year.o
Battery storage to support solar’s growth
The battery storage industry continues to match the growth of solar electricity generation in the US. The EIA even expects an addition of 14.3 GW in battery storage capacity this year to the current 15.5 GW in this year alone.
In hindsight, battery storage capacity enjoyed a year-on-year growth to 6.4 GW in 2023. The states of Texas (6.4 GW) and California (5.2 GW) are expected to dominate the new battery storage capacity with a combined 82% share this year.
The growth of battery storage is unsurprising, as it is crucial to support the continuous rise of solar and wind electricity generation in the US. The Biden-Harris Administration’s Inflation Reduction Act has also significantly aided the growth of the battery storage industry by offering investment tax credits (ITCs).
Wind power forecast
Wind electricity generation is also expected to witness an 8.2 GW addition in capacity this year, down from the 14.0 GW+ peak in 2020 and 2021.
The 800-MW Vineyard Wind 1 off the coast of Massachusetts and the 130-MW South Fork Wind off the coast of New York are among the major offshore wind projects officially launching operation this year, as per the report. The imminent launch of these new wind plants will finally include the country on the map for utility-scale wind power for the first time in history.
In a significant win for renewable energy push, natural gas will witness its lowest capacity addition in 25 years with only 2.5 GW planned this year.
