Solar, battery storage to lead new U.S. generating capacity additions in 2025

Renewable, H2 & ESG

EIA expects 63 GW of new utility-scale electric-generating capacity to be added to the U.S. power grid in 2025 in EIA's latest Preliminary Monthly Electric Generator Inventory report.

This amount represents an almost 30% increase from 2024 when 48.6 GW of capacity was installed, the largest capacity installation in a single year since 2002. Together, solar and battery storage account for 81% of the expected total capacity additions, with solar making up over 50% of the increase.

Solar. In 2024, generators added a record 30 GW of utility-scale solar to the U.S. grid, accounting for 61% of capacity additions last year. We expect this trend will continue in 2025, with 32.5 GW of new utility-scale solar capacity to be added. Texas (11.6 GW) and California (2.9 GW) will account for almost half of the new utility-scale solar capacity addition in 2025. We expect five other states (Indiana, Arizona, Michigan, Florida, and New York) each to account for more than 1 GW of added solar capacity in 2025 and collectively account for 7.8 GW of planned solar capacity additions.

Battery storage. In 2025, capacity growth from battery storage could set a record as we expect 18.2 GW of utility-scale battery storage to be added to the grid. U.S. battery storage already achieved record growth in 2024 when power providers added 10.3 GW of new battery storage capacity. This growth highlights the importance of battery storage when used with renewable energy, helping to balance supply and demand and improve grid stability. Energy storage systems are not primary electricity sources, meaning the technology does not create electricity from a fuel or natural resource. Instead, they store electricity that has already been created from an electricity generator or the electric power grid, which makes energy storage systems secondary sources of electricity.

Wind. In 2025, we expect 7.7 GW of wind capacity to be added to the U.S. grid. Last year, only 5.1 GW was added, the smallest wind capacity addition since 2014. Texas, Wyoming, and Massachusetts will account for almost half of 2025 wind capacity additions. Two large offshore wind plants are expected to come online this year: the 800-megawatt (MW) Vineyard Wind 1 in Massachusetts and the 715-MW Revolution Wind in Rhode Island.

Natural gas. Developers plan to build 4.4 GW of new natural gas-fired capacity in the United States during 2025: 50% from simple-cycle combustion turbines and 36% from combined-cycle power blocks. Utah, Louisiana, Nebraska, North Dakota, and Tennessee account for more than 70% of these planned natural gas additions. The two largest natural gas plants expected to come online in 2025 are the 840-MW Intermountain Power Project in Utah and the 678.7-MW Magnolia Power in Louisiana. The natural gas capacity additions at the Intermountain Power Project will replace 1,800 MW of coal-fired capacity at the plant, which is scheduled to be retired in July.

Tags