Governments worldwide are racing to boost renewable energy capacity to combat climate change, but some countries are pushing ahead of others.
According to Sustainability magazine, the United States is at the top regarding renewable energy production. According to the report, in 2020, renewable energy constituted 20% of the country’s total electricity production from hydropower (7.3%), wind power (8.4%), and solar (3.3%).
Falling prices of solar PV panels play a significant role in boosting investments in renewable energy, particularly in solar energy. Since 2015, the prices have dropped by nearly 70%.
Energy.gov reports that from just 0.34 GW in 2008, solar power capacity has grown to an estimated 97.2 gigawatts (GW) today, enough to power around 18 million average American homes.
Public and private investments in renewable energy are at a record high
The US1.5 trillion Infrastructure Investment and Jobs Act (IIJA), which President Bident signed on November 15, has earmarked more than $73 billion for clean energy transmission.
The IIJA is one of the most extensive infrastructure packages in recent history, including funding across three key areas: connectivity, decarbonization, and the creation of new economic opportunities.
Private investment in renewables is also growing in the country. Bloomberg reports that the new capital for the US energy transition jumped to 11% in 2021.
The article says that private investment into US clean energy assets reached a record of $105 billion last year as the country added a historic amount of renewable power capacity, and investor enthusiasm will continue to drive further growth in renewable energy.
On June 13, 2022, the US Department of the Interior announced the construction of two solar projects in California – the Arica and Victory Project, 265-megawatt and 200-megawatt projects, respectively.
The DOI press release “Biden-Harris Administration Approves Construction of Two Solar Projects in California” says:
“The two renewable energy projects will result in a combined infrastructure investment of about $689 million, generate $5.9 million in annual operational, economic benefit, provide power to approximately 132,000 homes, and add up to 465 megawatts of clean energy generating capacity and 400 megawatts of battery storage. Additionally, the projects will support up to 1,000 construction jobs during peak activities.”
The press release further states that the construction of the solar project in Riverside Country, California, is “the first project in areas identified as suitable for renewable energy development in the Desert Renewable Energy Conservation Plan, a landscape-level strategy that streamlines renewable energy development while conserving unique and valuable desert ecosystems and providing outdoor recreation opportunities on 10.8 million acres of public lands in the desert regions of seven California counties. To approve these sites for renewable energy projects, the Department of the Interior and the BLM work with Tribal governments, local communities, state regulators, industry, and other federal agencies”.
Investments in Hydrogen
In June, the US Department of Energy also announced to fund the Bipartisan Infrastructure Law’s $8 billion programs to develop regional clean hydrogen hubs (H2Hubs) across America.
The article “DOE Launches Bipartisan Infrastructure Law’s $8 Billion Program for Clean Hydrogen Hubs Across US” says that these H2Hubs “will create networks of hydrogen producers, consumers, and local connective infrastructure to accelerate the use of hydrogen as a clean energy carrier. The production, processing, delivery, storage, and end-use of clean hydrogen, including innovative uses in the industrial sector, is crucial to DOE’s strategy for achieving President Biden’s goal of a 100% clean electrical grid by 2035 and net-zero carbon emissions by 2050.”
Hydrogen energy offers enormous potential to decarbonize multiple carbon-intensive sectors, including heavy-duty transportation and steel manufacturing, and even decarbonize the entire power grid while creating good-paying jobs.
Today, the US produces 10 million metric tons of hydrogen per year compared to 90 million tonnes of annual global production. This new investment can expand the country’s hydrogen production from renewable energy sources, including solar, wind, and nuclear power. At the moment, hydrogen in the country comes from natural gas through steam methane reforming, the article notes.
Expansion of renewable infrastructure will require infrastructure asset management.
Renewable infrastructure consisting of solar, wind, hydro, nuclear, hydrogen, and electric vehicle charging systems is expected to grow dramatically in the coming decades.
Private and public infrastructure owners and managers will require guidance on optimizing asset performance and maximizing the value of their assets while reducing downtime and risks to protect revenue.
These new assets and infrastructure will need people who know how to manage and take care of them.
Leave a Reply