Huitong Finance APP News – The United States’ strategy to revitalize the manufacturing industry will help develop clean energy and change the U.S. energy landscape. It is predicted that the United States will add 40.6 gigawatts of renewable energy capacity in 2024, when wind and solar power combined will exceed coal-fired power generation for the first time.

U.S. coal-fired power generation will see a sharp decline due to the growth of renewable energy, lower natural gas prices, and planned closures of coal-fired power plants. According to the U.S. Energy Information Administration, coal-fired power plants will produce less than 599 billion kilowatt-hours of electricity in 2024, which is less than the 688 billion kilowatt-hours of solar and wind energy combined.

According to the American Clean Energy Association, as of the end of the third quarter, the total advanced development pipeline capacity in 48 states in the United States was 85.977 GW. Texas leads in advanced development with 9.617 GW, followed by California and New York with 9,096 MW and 8,115 MW respectively. Alaska and Washington are the only two states with no clean energy projects in advanced stages of development.

Onshore wind power and offshore wind power

Shayne Willette, senior research analyst at S&P Global Commodities Insights, said that by 2024, installed capacity of wind, solar and batteries will increase by 40.6 GW, with onshore wind adding 5.9 GW next year and offshore wind expected to add 800 MW. .

However, Willette said onshore wind capacity is expected to decline year-on-year, from 8.6 GW in 2023 to 5.9 GW in 2024.

“This capacity contraction is the result of several factors,” Willette said. “Competition from solar power is increasing, and the transmission capacity of traditional wind energy centers is limited by long project development cycles.”
(U.S. power generation composition)

He added that difficulties due to supply chain constraints and high rates for offshore wind are expected to continue into 2024, but Vineyard One off the coast of Massachusetts is expected to come online in 2024, accounting for the 800 MW expected to come online in 2024. all.

​Regional Overview

According to S&P Global, the increase in onshore wind power is concentrated in a few regions, with the Central Independent System Operator and the Electric Reliability Council of Texas leading the way.

“MISO is expected to lead onshore wind capacity with 1.75 GW in 2024, followed by ERCOT with 1.3 GW,” Willett said.

Most of the remaining 2.9 gigawatts come from the following regions:

950 MW: Northwest Power Pool

670 MW: Southwest Power Pool

500 MW: Rocky Mountains

450 MW: New York International Organization for Standardization

Texas ranks first in installed wind power capacity

The American Clean Energy Association’s quarterly report shows that as of the end of the third quarter of 2023, Texas ranks first in the United States with 40,556 GW of installed wind power capacity, followed by Iowa with 13 GW and Oklahoma with 13 GW. state’s 12.5 GW.

(Texas Electric Reliability Council wind power growth over the years)

ERCOT manages about 90% of the state’s electric load, and according to its latest fuel type capacity change chart, wind energy capacity is expected to reach nearly 39.6 gigawatts by 2024, an increase of nearly 4% year-over-year.

According to the American Clean Energy Association, about half of the top 10 states for installed wind power capacity are within Southwest Power’s coverage area. SPP oversees the power grid and wholesale electricity markets in 15 states in the central United States.

According to its generation interconnection request report, SPP is on track to bring 1.5 GW of wind capacity online in 2024 and implement interconnection agreements, followed by 4.7 GW in 2025.

At the same time, CAISO’s grid-connected fleet includes 625 MW of wind power expected to come online in 2024, of which nearly 275 MW have implemented grid-connection agreements.

Policy Support

The U.S. Department of the Treasury issued guidance on the production tax credit for advanced manufacturing on December 14.

JC Sandberg, chief communications officer of the American Clean Energy Association, said in a statement on December 14 that this move directly supports new and expanded domestic clean energy component manufacturing.

“By creating and expanding supply chains for clean energy technologies at home, we will strengthen America’s energy security, create good-paying American jobs, and boost the nation’s economy,” Sandberg said.