In a year marked by significant advancements in energy production, the United States set a new benchmark in 2023, only to surpass it in 2024. The surge was fueled primarily by natural gas and crude oil, but renewable energy sources played a crucial role in this achievement.
Renewable energy sources, including wind, solar, and biofuels, contributed nearly 10% to the total energy generated in the U.S. in the past year, according to the U.S. Energy Information Administration. These sources also provided 21.5% of the utility-scale electricity, surpassing coal and nuclear energy.
Wind energy production increased by 8%, biofuels by 6%, and solar energy saw an impressive 25% rise, aligning with global patterns where over 90% of new energy generation is derived from renewables.
In contrast, the Trump administration, known for its fossil fuel advocacy, has taken steps to impede the progress of renewable energy. With a cabinet filled with individuals linked to fossil fuels, the administration has hindered the renewable sector’s growth in 2025, focusing on fossil fuels instead.
Actions by the administration include executive orders halting offshore wind farm developments, cessation of subsidies and tax credits for wind and solar projects, and increased barriers for obtaining renewable energy project permits.
“In my view, there’s not one single answer to this,” Andrew Tubbs of the Energy Association of Pennsylvania said. “I think we need both and I don’t think it should be viewed in the lens of either-or. I think we need every resource.”
Energy Demand
The demand for energy continues to rise, driven by the development of data centers supporting artificial intelligence, manufacturing growth, and transportation electrification. According to the National Electrical Manufacturers Association, electricity demand is projected to increase by 2% annually, potentially rising by 50% by 2050.
Despite the growing demand, the administration has frozen billions in federal funding for renewable projects, cutting nearly $8 billion in clean energy grants across 16 states, predominantly those led by Democrats.
“For the world of clean energy, I think the reason for why we see the uncertainty being so bad is this is a collision between the most compelling economics of demand we’ve ever seen colliding with the worst politics we could ever imagine,” stated Jason Grumet, head of the American Clean Power Association, during an industry talk.
Going Green
A United Nations report indicates that the global electric grid’s expansion is largely due to renewable energy projects, with 92.5% of new electricity capacity in 2023 stemming from these sources. Investments in clean energy reached $2 trillion globally in 2024, surpassing fossil fuels for the first time in eight years.
In the U.S., solar installations have grown significantly, with a 28% annual increase over the past decade, marking records in both 2023 and 2024. Battery storage, essential for grid stability, nearly doubled in 2024 and is expected to continue this trend into 2025.
Electric vehicles also reached a milestone with 1.3 million units sold in 2024, accounting for more than 8% of new vehicle sales. The clean energy manufacturing sector contributes significantly to the U.S. economy, adding $18 billion to GDP and supporting 122,000 jobs nationwide.
Fossil Fuels
While electric vehicle sales are slowing due to lagging charging infrastructure, the Trump administration favors fossil fuel investments. Recent developments, such as Stellantis’s $13 billion investment in U.S. manufacturing, highlight this preference, with only a small portion allocated to EV production.
“I do think over the next two years or so, we’ll continue to see a lot of renewables get built. They’ll still get those tax credits since they were invested by a certain date and if they’re completed by a certain date,” Ted Kelly of the Environmental Defense Fund commented regarding the restricted credits.
U.S. Should Lead
Despite policy shifts, Jessica Lawrence-Vaca of Array Technologies believes the U.S. can remain competitive in renewable energy due to its historical leadership in research and manufacturing. As global dynamics shift, the U.S. ranks third in the solar supply chain, following China.
With energy demand rising, Tubbs of the Energy Association of Pennsylvania emphasizes the necessity of both fossil fuels and renewables to meet energy needs.
“The conversations absolutely change on a dime,” Tubbs remarked. “When you start making investments in generation, those investments don’t stop in a heartbeat.”
Original Story at www.alliednews.com