Future U.S. Electricity Generation Mix Will Depend Largely on Natural Gas Prices

The mix of fuels used to generate electricity in the United States has changed in response to differences in the relative costs of electricity-generating technologies and, for those technologies that consume fuel, the cost of fuel. Several cases in EIA’s Annual Energy Outlook 2018 (AEO2018) show how projected generation and capacity could continue to be affected by fuel price patterns, particularly for the price of natural gas. In a sensitivity case with low natural gas prices, natural gas ultimately provides more than half of all U.S. electricity generation by the mid-2040s.

Published in The Energy Collective, 13th February, 2018