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Solar Hogs Utility Scale Energy Additions In US

EIA Lowers 2023 Utility-Scale Solar Capacity Forecast Citing Supply Chain Issues For Industry

Anu Bhambhani
  • EIA says 16.8 GW new utility-scale power generation capacity was commissioned in the US in H1/2023  
  • It was led by solar PV with 5.9 GW, followed by natural gas and wind energy  
  • Another 35.2 GW of utility-scale electricity projects are to come online in 2023, with 19.3 GW comprising solar PV

Of the 16.8 GW new utility-scale energy generation capacity having come online in the US during H1/2023, solar claimed the largest chunk with 35%, or 5.9 GW, says the country's Energy Information Administration (EIA) based on its inventory of electric generators.  

Florida-led utility solar installations during the period contributed 25% of the total, thanks mainly to the local utility Florida Power and Light (FPL) adding close to 80% of the same. Recently, FPL parent NextEra said the company energized around 1.2 GW solar capacity in H1/2023 (see NextEra Expanding Renewable Energy Portfolio). 

Solar PV capacity commissioned during the 1st half could have been higher had it not been for supply chain constraints, as the EIA believes developers and project planners had been planning for 4.6 GW more originally.  

This is the reason the EIA has lowered its annual utility-scale solar guidance for 2023 to 25.2 GW, from 29.1 GW it expected earlier this year. It now says this segment will add another 19.3 GW in H2/2023, accounting for 55% of 35.2 GW utility-scale electricity generation capacity this year (see EIA Expects 29.1 GW New Utility Solar In US In 2023).   

During H1/2023, natural gas was placed 2nd with 34% or 5.7 GW of new capacity added, while wind made up 19% or 3.2 GW of 16.8 GW.  

 According to the US Solar Market Insight Report of SEIA and Wood Mackenzie, utility scale solar grew by 3.8 GW DC in Q1/2023 (see US: 'Best' 1st Quarter In PV Industry History).  

The EIA also projects 15.3 GW of operational capacity to be retired this year, of which 8.2 GW has been put out of service in H1. It comprises coal and natural gas power plants.