Wind energy market in USA

Abstract

This paper reviews the development and the perspectives of the wind energy market in USA, particularly to identify its potential growth as renewable energy source for electric generation, and to provide researchers, and various agencies a better understanding of wind energy market opportunities and barriers in USA within global context. The history of wind energy development, the cost analysis of wind energy compared to others renewable resources and fossil fuels, the renewable energy barriers, the prospect, and cost of the wind energy for USA market and legal acts are all reviewed. USA renewable wind and solar energy sources are used today to generate direct electric power for direct use by utility power companies, industrial, commercial, residential, and transportation sectors. In 2021, USA produced 92.9 quadrillion Btu from different types of energy resources including fossil fuels (35% petroleum, 34% natural gas, and 10% coal), 9% nuclear energy, and 12% renewable sources of energy. USA wind turbine capacity showed a growth rate of 13.4% with 117.7 Gigawatts in 2020, and 11.7% growth rate over 2009-2010. The European and Asia Pacific wind capacities were higher in 2020 than US with 216.6 and 341.9 Gigawatts, respectively. However, the European wind capacity growth rate decreased to 5.9% in 2020 as compared to their 10.3% growth during 2009-2019. The Asia Pacific’s wind capacity experienced firm growth at rate of 28.6% in 2020 and 23.0% during 2009-2019. Furthermore, the literature studies found that USA has become the world’s second largest wind power consumption (approximately 21%) country in 2020. The geographic distribution of wind resources are 20 times greater than the total global energy consumption. The average construction cost of windmill is being declined due to the tax incentives, utility demand, and better technology. This study suggests that the government regulatory policies and their commitment for harnessing wind energy should be stable and clear. Feed-in-tariff and long-term financial subsidies will also promote the diffusion of wind power development.