A Peek at the Future of the U.S. Energy Mix

The latest edition of Today In Energy from the Energy Information Administration (EIA) forecasts the power grid capacity doubling in the next 27 years. 

As you can see in the table below, there are many permutations of the forecast. However, the “Reference” case is the benchmark forecast.

The models also include economic growth and zero carbon technology costs (ZTC). The low economic growth case assumes a compound annual growth rate (CAGR) of 1.4%. To put that in perspective, the U.S. GDP grew 2.1% for the past 10 years. 

It’s clear to see that solar was the huge winner in all these scenarios. The solar segment grows by more than 500 gigawatts in the most conservative estimate. In the most aggressive scenario, it grows by more than 1,000 gigawatts.  

This is an excellent perspective in the future of energy in the U.S. It is a good roadmap for choosing our energy investments. 

Sincerely,
Matt B.