Solar and Battery Storage to Claim 81% of New U.S. Electric Capacity in 2024

According to the latest data from the U.S. Energy Information Administration (EIA), developers and power plant owners are gearing up to add 62.8 gigawatts (GW) of new utility-scale electric-generating capacity in the United States this year. This figure represents a significant surge compared to the 40.4 GW added in 2023, indicating a robust increase in industry activity.

The spotlight is on solar energy, poised to dominate the landscape with a projected 58% share of the new capacity in 2024. This forecasted addition of 36.4 GW would nearly double last year’s record-breaking increase of 18.4 GW, further solidifying solar’s position as the leading source of new generating capacity. Key states driving this growth include Texas, California, and Florida, with notable projects like the Gemini solar facility in Nevada set to become the nation’s largest solar project upon completion.

Battery storage is also set to witness unprecedented expansion, with developers planning to add 14.3 GW in 2024, almost doubling the existing capacity of 15.5 GW. Texas and California are again at the forefront, accounting for 82% of the new capacity. The Menifee Power Bank in Riverside, California, repurposing a former natural gas-fired power plant site, is among the notable projects contributing to this surge in battery storage.

While wind capacity additions are expected to reach 8.2 GW in 2024, following the record-breaking years of 2020 and 2021, growth in this sector has slowed. However, significant offshore wind projects such as Vineyard Wind 1 off Massachusetts and South Fork Wind off New York’s coast are on track to bolster the nation’s renewable energy portfolio.

On the other hand, natural gas capacity additions for 2024 are relatively modest, with developers planning 2.5 GW, the lowest in 25 years. Simple-cycle, natural gas turbine (SCGT) plants are leading the charge, offering swift grid support capabilities.

Lastly, the start-up of Georgia’s Vogtle nuclear power plant’s fourth reactor, initially scheduled for last year, has been rescheduled for March 2024, following the commercial operation launch of Vogtle Unit 3 in July 2023.

The surge in solar and battery storage installations underscores a continued shift towards renewable energy sources, driven by factors such as easing supply chain challenges, policy incentives, and increasing environmental awareness.