Renewable Power Project Completions Slow Sharply in U.S., an Industrial Info Press Release
SUGAR LAND, Texas, April 21, 2022 /PRNewswire/ — Researched by Industrial Info Resources (Sugar Land, Texas)– The rush to renewables has slowed, but has it plateaued?
Various factors, among them the COVID-19 pandemic, supply-chain problems, lack of skilled workers, tariffs on imported materials and landowner pushback, have combined to dramatically slow the completion of wind and solar projects in the U.S., according to Industrial Info Resources’ Global Marketing Intelligence (GMI) platform.
“There are various reasons for the slowdown in the completion of renewable energy projects in the U.S.,” said Britt Burt, Industrial Info Resources’ vice president of research for the global power industry. “Difficulty in obtaining financing, regulatory challenges, or a shortage of available capacity on the transmission grid are three longstanding challenges to getting renewable generation built. The last few years have added a new set of headwinds.”
The number of completed wind and solar projects in the U.S. peaked at 240 in 2019 before plummeting to 66 in 2021. Meanwhile, U.S. wind and solar projects that were cancelled or deferred rose from 95 in 2018 to 155 in 2021.
The total investment value (TIV) of completed wind and solar projects in the U.S. peaked at $46.2 billion in 2019, before falling to $33.3 billion in 2020 and $7.5 billion last year. Meanwhile, the dollar-value of renewable energy projects that were cancelled or deferred was triple the value of completed projects last year in 2021.
There are signs that the slowdown could become extended. Part of the slowdown in renewable energy completions could be because, after a prolonged period of heavy development, many of the best, most economic sites already have been developed. Also, as states attain their renewable portfolio standards (RPS), they may ease off efforts to obtain more renewable energy. A third factor is that cost reductions in renewable energy have slowed.
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Industrial Info Resources (IIR) is the world’s leading provider of market intelligence across the upstream, midstream and downstream energy markets and all other major industrial markets. IIR’s Global Market Intelligence Platform (GMI) supports our end-users across their core businesses, and helps them connect trends across multiple markets with access to real, qualified and validated project opportunities. Follow IIR on: LinkedIn.
SOURCE Industrial Info Resources