US Installed 3.18 GW Clean Energy In Q2/2022

ACP Counts 32 GW+ US Clean Power Projects To Have Been Delayed Since 2021-End

US Installed 3.18 GW Clean Energy In Q2/2022

ACP’s report sees slowdown in clean power installations in the US in 2022, but the installed capacity was largely solar. (Source: America Clean Power)

  • ACP says in H1/2022, only 9.79 GW of clean power capacity was installed in the US, down from over 13 GW in the previous year
  • It comprises 4.558 GW of solar with 1.57 GW having been added in Q2/2022
  • Since the end of 2021, more than 32 GW of clean power projects have been delayed in the country, including 64% solar
  • Analysts blame policy inaction and economic uncertainty for the slowdown in installations

Since the end of 2021, over 32.4 GW clean power projects have been delayed in the US, including 21 GW or 64% of solar power facilities, thanks majorly to policy inaction and economic uncertainty, says industry association American Clean Power (ACP).

It counts a 55% decline in project installations in Q2/2022 with only 3.188 GW utility scale clean power capacity installed comprising 1.575 GW solar, 620 MW wind, and 992 MW battery storage capacity.

During H1/2021, total clean energy installations in the US exceeded 13 GW which a year later in H1/2022 came down to 9.795 GW with the latter comprising 4.558 GW of solar power capacity.

Altogether, the country’s aggregate operational clean power capacity is now 211 GW, comprising 139.14 GW onshore wind, 65.75 GW solar, 42 MW offshore wind and 6,471 MW/16,792 MWh battery storage capacity. The project pipeline comprises 128.889 GW capacity, out of which 40.65 GW is under construction and 88.23 GW in advanced development.

“We have been warning about the storm of policy and economic headwinds the clean power industry is facing, and this is a step in the wrong direction,” said ACP CEO Heather Zichal. In addition, factors as high commodity prices, COVID-19 related delays, supply chain issues and high operating costs are other reasons slowing down the clean energy development here, it added.

In its Clean Power Quarterly Market Report Q2 2022, ACP notes new power purchase agreements (PPA) signed for 8.5 GW capacity growing 35% QoQ, and 27% YoY with Amazon’s agreements alone making up 3.2 GW or 40% of the total. Of the total PPAs signed, 67% were entered by corporates, followed by the utilities with 13%. Solar accounted for 71% of the announced PPA capacity in Q2/2022.

Pointing at the decline in terms of projects starting construction or entering advanced stages of development in Q2/2022 vis-à-vis previous quarter, ACP believes it is a key indicator for additional challenges throughout the remainder of the year.

“Congressional inaction and uncertainty on long-term tax policy, tariff and trade restrictions, and transmission constraints all impact the demand for clean energy at a time when we need to be rapidly scaling up development,” added Zichal.

Soon after ACP came out with its report, things seem to be moving forward at the policy level. President Joe Biden managed to get Senator Joe Manchin agree to the Inflation Reduction Act 2022, which should provide a boost to clean energy installations and local manufacturing as well.

About The Author

Anu Bhambhani

Anu Bhambhani is the Senior News Editor of TaiyangNews. Anu is our solar news whirlwind. At TaiyangNews she covers everything that is of importance in the world of solar power.

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