In the United States, wind and solar energy are poised to take the lead in power generation growth for the next two years, driven by new renewable energy installations, according to the Energy Information Administration (EIA). The agency outlined its projections on Tuesday, highlighting key trends in the country’s power sector.
According to Reuters, the EIA anticipates substantial growth in U.S. solar power generation, with a projected increase of 75% to reach 286 billion kilowatt-hours (kWh) in 2025, compared to 163 billion kWh in 2023.
This growth is attributed to the addition of more generation capacity and favorable tax credit policies. The electric power sector is expected to witness nearly a 38% increase in solar capacity in the current year.
While solar energy experiences robust expansion, wind power generation is also expected to grow, albeit at a more moderate pace. The EIA projects wind generation to reach 476 billion kWh in 2025, representing an 11% increase. However, wind capacity is forecasted to remain relatively flat in the current year.
In contrast, the outlook for coal power generation appears less optimistic, with an anticipated 18% decline to 548 billion kWh in 2025 from 665 billion kWh in 2023.
The shift away from coal is in line with broader trends in the energy sector as the U.S. continues to transition towards cleaner and more sustainable sources of power.
Natural gas, currently the largest source of electricity in the U.S., is expected to maintain relatively stable generation levels, reaching 1.7 trillion kWh in both 2024 and 2025.
The share of renewable sources, including wind and solar, in the overall power generation mix is expected to increase, reaching 22% of total generation last year.
