Consumption of renewables in
U.S. increases 7%
WASHINGTON, DC, USA, August 29, 2007.
Consumption of wind energy in the United States rose 45% last year,
compared with 6.5% for solar PV and 1.8% for geothermal.
Preliminary data from the Department of Energy indicates that total
consumption of renewables increased 6.9% between 2005 and 2006. In contrast,
total U.S. energy consumption declined 1% due to decreased consumption of
fossil fuels (including decreased natural gas consumption in the residential
sector and decreased coal and petroleum consumption in the electric power
sector).
Total consumption in the U.S. was 6.8 quadrillion Btu, of which biomass
was 3.3 quad, conventional hydroelectricity was 2.9 (up 6.9%), geothermal
was 0.35, wind was 0.26 and solar PV was 0.07 quad, explains ‘Renewable
Energy Consumption & Electricity Preliminary 2006 Statistics’ released by
DOE’s Energy Information Administration.
The electric power sector consumed 56% of renewables, the industrial
sector consumed 28% while the transportation and commercial sectors used the
remainder. Hydroelectricity had the largest absolute year-to-year change at
186 trillion Btu, while biofuels consumption increased by 164 trillion Btu
and wind increased by 80 trillion Btu.
By the end of last year, wind net summer capacity in the U.S. stood at
11,119 MW, or about 2.5 times its level of 2002. Texas, with 2,698 MW of
capacity, overtook California as the leader in wind and 15 states reported
net increases in wind capacity.
The factors driving growth in wind energy include the federal Production
Tax Credit which provides a 1.9¢/kWh tax credit for ten years; Renewable
Portfolio Standards and state mandates among 24 states; higher costs of
natural gas and global warming.
In 2006, conventional output from hydroelectric facilities increased to
288 billion kWh, its highest level since 2003. The largest increases in
hydroelectricity were in California and the northwestern states of Idaho,
Oregon and Washington.
Hydroelectricity accounted for 18 b-kWh of the 27 b-kWh increase in green
power in the U.S., while wind increased 8 b-kWh spread across a number of
states. Total U.S. net summer capacity for all energy sources increased by
10,049 MW in 2006 to 988,069 MW, while capacity of renewables expanded to
101,383 MW total and accounted for 2,637 MW (26% of the national increase).
Ethanol production increased 25% from 3.9 billion gallons in 2005 to 4.9
billion gallons in 2006, due to continued replacement of methyl tertiary
butyl ether (MTBE) by ethanol as a gasoline additive, strong world oil
demand and higher crude oil prices, federal tax laws that provide
incentives, and the Energy Policy Act of 2005 which mandates annual
renewable fuel use in gasoline at 7.5 billion gallons by 2012.
The United States Department of Agriculture estimates that 14% of corn
use in the latest crop year went for production of ethanol, up from 11% in
the 2004-05 crop year and 6% in 1999-00. The price of corn hit $4 per bushel
during 2006, the highest in two decades and higher than the average of $2.40
over the 20-year period. “Increased ethanol production in the U.S., coupled
with increased demand from Asian countries for meat from corn-fed livestock,
is contributing to the increased demand for corn.”
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