New Milestone for Renewable Energy in the U.S

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In a report published by the U.S. Energy Information Administration on Wednesday, June 14, data shows that the U.S. has achieved a milestone in renewable energy.  With solar and wind compromising 2 and 8 percent of all electricity generation in the U.S respectively, this marks the first time renewable energy has attributed to 10% of all electricity generated.

As spring and fall experience less energy consumption, the EIA expects April to continue with the 10% figure as wind and solar generation peak during spring and fall months. Although summer will see a slowdown in the 10% benchmark, there is optimism that a growth in renewable energy observed in 2016 will continue into 2017.

According to the data, Texas generated more renewable energy than any other state, nearly all of which were derived from wind. However, it was Iowa that had the largest percentage of renewable energy to total energy production, with 37 percent of the state’s energy now derived from wind and solar sources.

Pushing for more lenient environmental regulations, Trump’s administration may be attributed with the increase in renewable energy consumption. Additional to the U.S. pulling out of the Paris Climate Agreement earlier this month, a revitalized interest in coal production has led U.S. citizens to question the environmental effects.

With heavy adoption in China, India, and some parts of Europe, renewable energy sources are on a growth trajectory in the U.S. Although fossil fuels still account for the majority of energy production in the U.S., 2015 was the first year where construction of renewable energy infrastructure outnumbered its non renewable alternatives.

Additionally, the private sector is increasing its standpoint for renewable energy as solar and wind sources become increasingly cost effective. With decreasing costs of wind turbines and solar panels, renewable energy prices are competing with coal in cost effectiveness. As wind turbines and solar panels become more viable in everyday consumer lives, this may attract investor attention, ultimately facilitating growth in the future.

Using just one wind turbine, and a small park of solar panels, Tilos, an Island in Greece has announced that it would be entirely run on wind and solar power.

However, natural gas is still reported to be on track to outpace both coal and renewable energy, despite controversy over pipeline infrastructure.  

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About the author: Josh is currently studying for a Bachelors in Business Management Organizational Studies at Western University, Ontario. He was awarded the Western Continuing Admission Scholarship in 2015. He is scheduled to graduate in 2109. Josh has worked as a business analyst, co-founded Master Badminton, a sporting goods website, and has written financial analysis, stock market updates, and informational articles on investing.