Environment & Energy

Department of Energy
U.S. Department of Energy Projects Strong Growth in U.S. Wind Power Sector

AUGUST 24, 2023
Energy.gov U.S. Department of Energy Projects Strong Growth in U.S. Wind Power Sector
Three New Wind Energy Market Reports Highlight Growth in Wind Energy Deployment and Domestic Supply Chain, Creating Good-Paying Jobs Thanks to President Biden’s Investing in America Agenda

WASHINGTON, D.C. — The U.S. Department of Energy (DOE) today released three annual reports showing that wind power continues to be one of the fastest growing and lowest cost sources of electricity in America and is poised for rapid growth. According to the new reports, wind power accounted for 22% of new electricity capacity installed in the United States in 2022, second only to solar, representing $12 billion in capital investment, and employing more than 125,000 Americans. The reports found that transformative tax incentives in President Biden’s Investing in America agenda—a key pillar of Bidenomics—have led to significant increases in near-term wind deployment forecasts and are helping keep wind power prices competitive with other sources of energy like natural gas. Since taking office, President Biden has launched the most ambitious climate agenda in history, and wind energy both onshore and offshore will continue to play a significant role in achieving the Biden-Harris Administration’s unprecedented clean energy goals.

“As one of the cheapest energy sources nationwide, wind energy generates enough electricity to power more than 43 million homes and is creating good-paying jobs for the growing domestic wind energy workforce,” said U.S. Secretary of Energy Jennifer M. Granholm. “President Biden’s Investing in America agenda is expanding our nation’s domestic supply chain, increasing energy security, and growing the wind energy market to drive our clean energy future.”

Since the passage of President Biden’s historic Inflation Reduction Act, forecasts for land-based wind energy installed in 2026 have increased nearly 60% from about 11,500 megawatts (MW) to 18,000 MW, which is enough to power an additional two million homes. There have also been at least eleven announcements of manufacturing facilities that plan to open, re-open, or expand to serve the land-based wind industry. And the advanced manufacturing production tax credit in the Inflation Reduction Act is estimated to reduce the cost of offshore wind blades by 27% and steel towers by 18%.

The 2023 edition of the Land-Based Wind Market Report, prepared by DOE’s Lawrence Berkeley National Laboratory, details the 8,511 MW of new utility-scale land-based wind generation capacity added in 2022—the equivalent of powering 2.5 million American homes. Key findings from the report include:

• Wind energy provided 10% of total electricity nationwide, more than 60% of power in Iowa, and over 40% of power in South Dakota, Kansas, and Oklahoma.
• 14 states installed new utility-scale land-based wind turbines in 2022. Texas installed the most capacity, with 4,028 MW. Other leading states included Oklahoma and Nebraska, which each adding more than 600 MW of capacity in 2022.
• For the first time, non-utility buyers, such as corporations, are purchasing more wind than utilities. Direct retail purchasers of wind—including corporate commitments—buy electricity from at least 44% of the new wind capacity installed in 2022.
• Wind turbines continue to grow in size and power, contributing to competitive costs and prices. The average capacity of newly installed wind turbines grew 7% from 2021 to 2022, to 3.2 MW, while the hub height—distance from the ground to the middle of the turbine’s rotor—increased 4% from 2021 to 2022, to 98.1 meters, slightly taller than the Statue of Liberty. Taller wind turbines can create more electricity by benefitting from the better wind resources available further from the ground.
• For wind projects built in 2022, the estimated public health benefits, climate benefits, and value to the grid are worth more than five times the cost of generating electricity from wind energy.

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