Renewable Energy Study Released

American Wind Power Expansion drives 248,000 jobs, $85B economic activity, 35 GW capacity growth, boosting manufacturing, rural communities, and tax revenues, supported by the PTC and record renewable energy deployment through 2020.

Key Points

American Wind Power Expansion adds 35 GW by 2020, fueling 248,000 jobs and $85B in U.S. economic activity.

✅ 35 GW new capacity from 2017-2020 across rural America

✅ Projected 248,000 jobs; 33k in factories, 114k in O&M

✅ Generates $8B taxes; $85B total economic activity

The expansion of American wind power, as recent grid data show across the U.S., is poised to drive 248,000 jobs and $85 billion dollars in economic activity over the next four years, according to the American Wind Energy Association (AWEA), citing a new report from Navigant Consulting.

These and other economic benefits will result from the addition of 35 GW of new wind power capacity through the end of 2020, even as the timeline to reach 1 GW of U.S. offshore wind remains uncertain for grid connection, which also mark’s the end of President Donald Trump’s term in office, AWEA says.

AWEA has released an accompanying  white paper. “Wind brings jobs and economic development to all 50 states,” to highlight the economic benefits wind already delivers to the U.S. economy today. For the first time ever, the U.S. wind industry supports more than 100,000 jobs; in fact, there are 102,500 workers in all 50 states.

“Growing wind energy revitalizes America’s rural areas and Rust Belt manufacturing centers,” comments Tom Kiernan, CEO of AWEA. “With over 100,000 jobs today, the industry is just getting started. This new analysis projects the industry could drive nearly a quarter-million jobs by 2020 – with $85 billion in economic activity over the next four years alone.”

AWEA says American wind industry jobs grew nearly 17% during 2016, and Navigant expects this growth to continue: Through 2020, the consultant expects a total of 248,000 wind-related American jobs, including induced jobs. By that time, there would be 33,000 Americans working in factories supplying the wind industry; 114,000 Americans building, operating and maintaining wind turbines; and an additional 102,000 workers in jobs supported by the industry.

The 102,500 wind industry jobs previously documented by AWEA include Americans working only for wind companies or in their supply chain in 2016 (not jobs in supporting industries). And unlike previous AWEA figures reporting the amount of private investment in new turbines each year, the Navigant study incorporates additional economic activity from operating and maintaining wind turbines, payments to landowners, and taxes paid by the wind industry, AWEA points out.

Rural areas that sorely need investment will be the largest beneficiaries of this growth, as illustrated by new Midwestern wind projects that attract capital, considering 99% of wind projects are located in rural areas today, the association says.

Wind power development funds states and local communities through sales, income and property taxes, and Navigant calculates that the new wind activity will pay over $8 billion in taxes over the next four years – on top of the tax revenues from existing wind projects. These tax revenues help local communities fix roads, build schools and improve emergency services, notes AWEA.

As pointed out in a recent AWEA report, wind is now the largest source of renewable energy capacity in the U.S., and the most-used renewable for generation across the country: At the end of 2016, there was more than 82 GW installed. Now, Navigant’s forecast for the development of 35 GW of additional wind power capacity between 2017 and 2020 represents a more than 40% increase.

According to the consultant, this growth is made possible, in part, by the multiyear extension of the wind energy production tax credit (PTC) in 2015, though some analysts caution in a report on Solar ITC impacts that policy shifts could challenge wind competitiveness in coming years. The credit has already begun phasing out on an 80%-60%-40% schedule, starting this year, and by 2019, wind will be the only major source of energy without a dedicated federal incentive.

“American ingenuity and hard work have driven the cost of wind down by two-thirds since 2009, propelling wind to contribute 30 percent of power plant capacity added over the last five years,” Kiernan adds. “The policy certainty provided by the 2015 production tax credit phase-down has allowed the industry to make long-term investments in the American workforce and manufacturing to further bring costs down.”

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Renewable Energy Impact on Coal and Nuclear examines how wind, solar, and cheap natural gas reshape baseload economics, market design, and grid reliability, improving operations where modernized regulations and flexible generation balance variable output.

Key Points

Wind and solar and cheap gas erode coal and nuclear economics, while grids sustain reliability and cut emissions.

✅ Cheap natural gas undercuts aging coal plants.

✅ Variable renewables lower prices and emissions.

✅ Modern grid rules enhance flexibility and reliability.

U.S. Secretary of Energy Rick Perry in April requested a study to assess the effect of renewable energy policies on nuclear and coal-fired power plants.

Some energy analysts responded with confusion as the subject has been extensively studied by grid operators and the Department of Energy’s own national labs, alongside discussions of clean energy's hidden tradeoffs in broader debates. Others were more critical, saying the intent of the review is to favor the use of nuclear and coal over renewable energy sources.

So, are wind and solar killing coal and nuclear? Yes, but not by themselves and not for the reasons most people think. Are wind and solar killing grid reliability? No, not where the grid’s technology and regulations have been modernized to enhance grid resilience across operations. In those places, overall grid operation has improved, not worsened.

To understand why, we need to trace the path of electrons from the wall socket back to power generators and the markets and policies that dictate that flow. As energy scholars based in Texas – the national leader in wind – we’ve seen these dynamics, and renewables' growing share shape markets over the past decade, including when Perry was governor.

Wrong question

There has been a lot of ink spilled on why coal is in trouble. A quick recap: Natural gas is plentiful and cheap. Our coal fleet is old and depreciated. Energy use in the U.S. has flatlined, so there’s less financial incentive to build big new power plants.

Part of Perry’s review is aimed at establishing how wind and solar, which are variable sources of power, and help explain why the grid isn’t 100% renewable yet under present constraints, are affecting so-called baseload sources – the power plants that provide the steady flow of electricity needed to meet the minimum demand.

Posing the question whether wind and solar are killing baseload generators, including coal plants, reveals an antiquated mindset about power markets that hasn’t been relevant in many places for at least a decade. It would be similar to asking in the late 1990s whether email was killing fax machines and snail mail. The answer would have been an unequivocal “yes” followed by cheers of “hallelujah” and “it’s about time” because both had bumped into the limits of their utility. How quickly 1990s consumers leaped to something faster, less impactful and cheaper than the older approach was a sign that they were ready for it.

Something similar is happening in today’s power markets, as customers again choose faster, less impactful, cheaper options – supported by falling wholesale electricity prices – namely wind, solar and natural gas plants that quickly boost or cut their output – as opposed to clinging to the outdated, lumbering options developed decades before. Even the Department of Energy’s own analysis states that “many of the old paradigms that govern the (electricity) sector are also evolving.”

Wind and solar are making older generators less viable because their low, stable prices and emissions-free operation are desirable. And they aren’t hurting grid reliability the way critics had assumed because other innovations have happened simultaneously.

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BOEM Offshore Wind Lease Requests advance offshore wind on the Outer Continental Shelf, with PNE and Statoil bids in New York and Massachusetts, BOEM reviews, stakeholder engagement, and competitive leasing for overlapping wind energy areas.

Key Points

Unsolicited OCS lease requests in NY and MA by qualified developers, prompting BOEM review and competitive leasing.

✅ PNE Wind USA seeks 40,920 OCS acres offshore New York

✅ PNE and Statoil nominate two Massachusetts wind areas

✅ Competitive leasing planned where overlapping interest exists

The U.S. Department of the Interior’s Bureau of Ocean Energy Management (BOEM) says it has received unsolicited lease requests from two companies looking to develop wind projects offshore New York and Massachusetts, as U.S. offshore wind power is poised to grow nationwide.

The requests, which are for areas on the Outer Continental Shelf, are not in response to a formal call for interest, the agency notes. BOEM says it has finished its review of the requests and deemed them complete. Moreover, it has reviewed the applicants’ qualification materials and determined that the companies are legally, technically and financially qualified to pursue the leases.

For New York, PNE Wind USA Inc. is looking to lease 40,920 acres for offshore wind, as the state investigates additional offshore sites through its planning efforts. If BOEM decides to move forward with the application, the next step will be to issue a public notice to determine whether there is competitive interest in bidding for the area, the agency explains.

On the other hand, both PNE Wind USA Inc. and Statoil Wind US LLC submitted unsolicited lease requests for previously unleased areas in the wind energy area offshore Massachusetts. Lease area OCS-A 0502 is approximately 248,015 acres, and lease area OCS-A 0503 is approximately 140,554 acres. (Notably, in December, Statoil Wind US LLC won a federal auction to develop a wind farm in federal waters off Long Island, N.Y., as more turbines are proposed for the South Shore by developers.)

Due to the fact that both parties nominated the same area in Massachusetts, and amid momentum on Vineyard Wind permitting in the region, BOEM has determined that competitive interest exists; therefore, the agency plans to proceed with a competitive leasing process for this area.

BOEM says it will continue to engage key stakeholders, including members of the New York and Massachusetts Renewable Energy Task Forces, as New York advances its largest offshore wind farm, and stakeholders from adjacent states, to keep them informed on the process.

“America has a world-class wind resource far off our shores that is attracting the investment of a billion dollar energy industry that currently supports over 85,000 jobs overseas,” says Collin O’Mara, president and CEO of the National Wildlife Federation, in a statement.

This latest announcement, O’Mara says, is a “clear sign of momentum in the Northeast, where, thanks to recent visionary state leadership in Massachusetts and New York, there is a visible market of over 4,000 MW of offshore wind power enough to power over approximately 1.3 million homes and only a fraction of the region’s offshore electricity generation potential. “

“Responsibly developed offshore wind power is America’s golden opportunity to create tens of thousands of well paying jobs while providing pollution-free power right where it’s needed and avoiding wildlife impacts,” he adds.

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Wave and Tidal Energy Market drives ocean energy and marine renewables, advancing clean power via tidal lagoons and wave converters, boosted by policy support, subsidies, investments, and rising installed capacity across Europe, Asia Pacific.

Key Points

A sector harvesting ocean energy via wave and tidal tech, driven by clean power demand, policy support, and investment.

✅ Europe leads with tidal lagoons and arrays like MeyGen

✅ Growth fueled by subsidies, R&D, and private investments

✅ Installed capacity rising despite fragmented competition

With effective strategies and technologies, ocean could be used as one of the largest and inexhaustible sources of environmentally-neutral and sustainable energy. Wave and tidal energy technologies serve as two of the present times' key ways of harnessing energy from oceans, as companies using oceans and rivers advance pilot and commercial projects worldwide. Wave and tidal energy technologies are relatively new power generation technologies with significant scope for development in the near future.

As research and development activities focused on the commercial development of clean energy resources intensify, the two sectors are expected to witness significant market growth in terms of technological advancement and rise in terms of investment and installed capacity in the near future. However, owing to their emerging nature, further development of wave and tidal energy technologies requires constant support from government bodies in terms of subsidies and encouraging regulation.

Global Wave and Tidal Energy Market: Trends and Opportunities

The rising consumption of electricity across developed, developing, and well as less-developed economies is undoubtedly the primary factor encouraging developments in the global market for wave and tidal energy. Other important factors driving the market include the shrinking banks of conventional power resources such as oil, natural gas, and coal, and the rising concerns regarding the highly polluting nature of energy production techniques that involve these and other fossil fuels. The increased focus on developing power generation techniques based on cleaner and sustainable energy sources such as solar power and wave power for a clean energy future is mostly an attempt to find a fitting solution to the aforementioned concerns.

Global Wave and Tidal Energy Market: Market Potential

The market for wave and tidal energy is treading along an encouraging growth path, Home to the world's oldest commercial-sized tidal power plant, the market for wave and tidal energy in Europe continues to lead the way. The market in Europe is seeing an increased number of projects being announced or going live on an encouraging pace, with the highly anticipated Swansea Bay tidal lagoon in the U.K. and the MeyGen tidal array project in Scotland swiftly nearing completion. Owing to an impressive line-up of old and new projects, several potential sites capable of housing large-scale wave and tidal energy projects, and an encouraging regulatory framework, with the UK renewable energy auction signaling stronger support for tidal power, the Europe market is expected to present growth opportunities for companies operating in the wave and tidal energy market in the next few years.

Global Wave and Tidal Energy Market: Regional Overview

Europe is presently the leading contributor of revenue to the global market and is expected to witness significant developments in the next few years, alongside accelerating offshore wind expansion that reinforces marine energy supply chains. South Korea is expected to lead in terms of the tidal barrage technology and is expected to add more capacity alongside the Shiwa Lake Tidal Power Station, presently the world's largest tidal power station, to its wave and tidal energy output. Boasting only a few sites where tidal energy can be harnessed at a commercial and economical cost, the U.S. lags behind in the market with no commercial tidal plants till now. Developments in the area in Asia Pacific are expected to remain limited to mostly China and Australia.

Global Wave and Tidal Energy Market: Competitive Analysis

Despite being at a nascent stage of development, the global wave and tidal energy market features a fragmented competitive landscape. Over 200 companies presently function in the market, most of which have operations in the area of development of energy converter technologies, and lessons from wind turbine O&M are informing deployment and reliability strategies. It is difficult to project whether or not the competitive landscape will achieve consolidation in the near future. However, for small companies to make a mark in the global market, strategic alliances with special purpose project companies would be imperative.

Some of the leading players operating in the global wave and tidal energy market are Ocean Renewable Power Company LLC, Pelamis Wave Power Ltd., AquaGen Technologies, Tenax Energy, Carnegie Wave Energy Ltd., Atlantis Resources Ltd., Ocean Power Technologies, Inc., Aquamarine Power Ltd, Marine Current Turbines Ltd., and S.D.E. Energy Ltd. (WERPO Wave Energy).

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EIB Solar Investment in India advances renewable energy financing with SBI, backing EUR 650m photovoltaic projects, 530 MW capacity, supporting the National Solar Mission, cutting fossil fuel dependence, and aligning with EU climate goals.

Key Points

A EUR 200m EIB loan via SBI to finance large-scale PV plants, adding 530 MW and boosting India's solar mission.

✅ EUR 200m EIB loan catalyzes EUR 650m solar capex

✅ 530 MWac PV across Telangana, Tamil Nadu, and more

✅ Partnership with SBI aligns with Paris climate goals

The European Investment Bank today confirmed new support for solar power generation in India in partnership with the State Bank of India. The EUR 200 million (INR1,400 Crores) long-term loan will support total investment of EUR 650 million in five different large-scale photo-voltaic solar power projects and contribute to India's National Solar mission as renewables surpass coal in the country's energy capacity and reduce dependence on fossil fuel power generation. Four schemes across the country, with a generation capacity of 530 MWac, have already been identified.

The European Investment Bank is one of the world's largest lenders for renewable energy investment, and across the European Union, Ireland's green electricity target underscores momentum, and this new initiative represents the EIB's largest ever support for solar power in Asia. Owned by the 28 members states of the European Union the European Investment Bank is the world's largest international public bank.

The loan agreement was formally announced in New Delhi ahead of the inauguration of the first permanent presence in India of the European Investment Bank by Finance Minister Jaitley, European Investment Bank President Werner Hoyer and Vice President, Andrew McDowell, responsible operations in India and South Asia.

“The new cooperation between the State Bank of India and the European Investment Bank will scale up investment in large scale solar power generation across India. Close cooperation between technical and financial teams from both institutions will ensure that world class projects are supported.” highlighted Mr B Sriram, Managing Director, State Bank of India.

“Large scale investment in renewable power is essential to enhance affordable, reliable and sustainable energy. The European Investment Bank is pleased to strengthen our close partnership with the State Bank of India to support world class solar energy developments that will make a significant contribution to India's ambitious renewable energy goals. Unlocking new investment in large scale solar generation is crucial to ensure that renewable energy plays a leading role in India's energy mix in the years ahead. This new project reflects the shared commitment of India and the European Union to tackle climate change and implement the Paris Climate Agreement.” said Andrew McDowell, Vice President of the European Investment Bank, speaking at the start of a four day official visit to India.

The EUR 200 million 20 year long-term European Investment Bank loan will support individual projects following technical and financial due diligence. It is expected that projects in Telangana and Tamil Nadu states, and elsewhere in the country, despite a recent surge in coal generation nationally, will be backed by the new initiative. The European Investment Bank will support investment in individual solar projects alongside financing from Indian banks and project promoters.

The entire process of arranging the loan was facilitated by SBI's subsidiary, SBI Capital Markets.

“This new initiative demonstrates the European Investment Bank's commitment to support climate related investment and sustainable development around the world including renewable funding initiatives in developing countries and here in Asia. We are pleased to highlight the importance of this project and renewable energy investment in India at the opening of our new Representation to South Asia in New Delhi.” added Vice President McDowell.

Whilst in the country the high-level European Investment Bank delegation will meet the Managing Directors of the India Renewable Energy Development Agency (IREDA) and India Infrastructure Finance Limited (IIFL) to discuss future support for renewable energy investment in India

The European Investment Bank has financed projects totalling EUR 1.7 billion (approx.INR 11,900 crores) in India since 1993. Last year the European Investment Bank Group provided EUR 84 billion to finance new investment around the world, including EUR 19.6 billion for climate related investment as renewables are on course to shatter records around the world.

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US Wind and Hydropower Capacity surpassed milestones as wind overtook hydro in installed MW, yet hydro generation leads on higher capacity factors, seasonal hydrology, and West Coast precipitation, with ERCOT and SPP setting peaks.

Key Points

It refers to installed MW and seasonal generation shaped by capacity factors, hydrology, and regional grid dynamics.

✅ Wind capacity surpassed hydro, but hydro still leads in generation.

✅ Capacity factors and hydrology drive seasonal output variability.

✅ ERCOT and SPP recorded high wind shares and peak outputs.

Installed wind electric generating capacity in the United States surpassed conventional hydroelectric generating capacity, long the nation’s largest source of renewable electricity, after 8,727 megawatts (MW) of new wind capacity came online in 2016 amid wind power surges in the U.S. electricity mix. However, given the hydro fleet’s higher average capacity factors and the above-normal precipitation on the West Coast so far this year, hydro generation will likely once again exceed wind generation in 2017.

Wind and hydro generation both follow strong seasonal patterns. Hydro generation typically reaches its seasonal peak in the spring and early summer, especially in the Pacific Northwest and California where about half of U.S. hydropower is produced. Across most of the country, wind generation typically peaks in the spring and has become the most-used renewable source nationally with a smaller peak in late fall and early winter. The Pacific Northwest and California have a slightly different seasonal pattern for wind resources, with generally only one peak in the early summer.

In the Southwest Power Pool (SPP) electric system, which extends from northern Texas to North Dakota and Montana, wind power recently supplied more than half of the system’s generation mix for a brief period, as renewables surpassed coal nationally in 2022, reaching 52.1% (11,419 MW) in the early hours of February 12, 2017—a first for any of the seven U.S. regional transmission organization (RTO) electric systems that together serve two-thirds of the country’s electricity consumption.

The Electric Reliability Council of Texas (ERCOT) system which covers most of Texas continues to set records for the highest level of wind generation on any U.S. electric system as renewables became the second-most prevalent U.S. electricity source in 2020, highlighting broader shifts. ERCOT’s most recent record of 16,022 MW occurred on the morning of December 25, 2016, and accounted for slightly more than 47% of the generation mix at the time

Compared with other electricity generating sources such as nuclear, geothermal, and combined-cycle natural gas, hydro and wind have lower average capacity factors (i.e., generation output as a percentage of total generating capacity). Both sources are sensitive to fluctuations in weather conditions such as droughts, heavy precipitation, and changes in regional wind patterns. Given the hydro fleet's historically higher capacity factors compared with wind and the expected strong hydrological conditions on the West Coast this year, such as the recent heavy rainfall in California and the Pacific Northwest, hydro generation in 2017 will likely still be higher than wind generation even with anticipated continuing additions of new wind capacity throughout the year.

For electricity reliability planning purposes, hydro and wind capacity are reduced (or derated) when estimating their expected contributions to meet projected peak-period electricity demand. Hydro capacity is generally derated to a much lesser degree than wind capacity. The North American Electric Reliability Corporation’s(NERC’s) latest summer reliability assessment shows the difference between the nameplate capacity and the expected on-peak capacity for variable renewable sources (wind, solar, and hydro) in each region, and recent U.S. solar growth underscores changing contributions across markets. In both SPP and the PJM Interconnection electric system, which covers a highly populated area of Mid-Atlantic, Southern, and Midwestern states, hydro provides more expected on-peak capacity than wind even though there is about twice as much installed wind capacity as hydro capacity in both regions.

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