Not only in Europe are renewable energies gaining ground in electricity production. On the other side of the Atlantic, they satisfy 23% of electricity demand according to the latest BloombergNEF report.
The share of wind and solar energy in electricity production is clearly increasing, while that of coal has fallen below 16%. On the other hand, electricity production from natural gas set a new record above 1,800 TWh in 2023, or a share of 43%.
Last year, up to 42 gigawatts of renewable energy generation capacity was connected to the US power grid, while 7.5 gigawatts of battery storage was added.
A development possible, in particular, thanks to a proactive policy of the government through the Inflation Reduction Act (IRA) and other subsidies granted by the department dedicated to energy and other organizations. Still, according to BNEF, more than $300 billion in energy transition financing has been allocated in the United States for clean energy technologies, electric vehicles and investments in electric grids.
Fall in sales of electric cars and offshore wind projects
As the Wall Street Journal indicates, these figures “are released as concerns begin to arise about investments in the energy transition.” The newspaper cites two examples: on the one hand, the slowdown in the growth of sales of electric vehicles in recent weeks, after an increase of 50% compared to 2023. On the other hand, doubts arise about offshore wind turbine projects due to to rising costs and falling returns.
BMI, a research unit of Fitch Solutions, also believes that the growth of renewable energy is emerging as the most possible substitute for coal in electricity production. The reason is the reduction in the share of natural gas globally, echoed by a recent controversy over liquefied natural gas (LNG) in the United States. Last month, Joe Biden suspended authorizations for LNG exports to Europe and Asia, justifying the suspension due to concerns about the environmental consequences of gas activity.
Source: BFM TV
