The AWEA Recently announced that in November of 2015, the United States reached the 70 gigawatts production milestone for the first time in its history. This is great news for an industry that had plateaued over the last couple years with the uncertainty created by the government and clean energy tax credits. The 50 and 60 gigawatt levels were achieved back in 2012. 2013 proved to be slower year for new wind energy projects, but that has changed in 2014, with over 8.3 billion dollars invested.
Better Times Ahead
The momentum for 2015 and beyond is increasing for many reasons. The first is the extensions of the Production Tax Credit and alternate Investment Tax Credit by Congress, which gives stability and predictability to the industry through at least 2019. These credits make new wind energy projects more affordable, encouraging investment.
Another big reason is that wind energy prices have reached all time lows. In order to be competitive in the energy market, wind energy has to make financial sense for the organizations buying and investing in energy. With wind energy prices the lowest they have ever been, they are very competitive economically on the market.
More Progress to be Made
While 70 gigawatts of energy production is a great milestone for a budding industry, there is still a long way to go before wind energy is a viable alternative for U.S. residents. At this point, energy produced by wind makes up only 5% of total U.S. energy consumption – meaning there is still great long-term potential for increases in wind energy production.