Renewable energy, or green energy, is one of our biggest allies in the fight against anthropogenic climate change. 

Fossil fuels have been the global source of usable energy for hundreds of years and gave rise to the industrial revolution. But, their extraction and consumption are also largely responsible for the current global climate crisis. Scientists overwhelmingly agree that ongoing consumption of fossil fuels at current levels are not compatible with a livable planet. 

Fortunately, clean energy technology has advanced leaps and bounds in recent years, especially when it comes to wind power and solar power technology. 

The US is currently the country with the second-most renewable energy capacity in the world (behind China), and that capacity is on the rise. 

This article shares some facts about solar and wind power to give you an idea of what the future of green energy production looks like in the US and beyond.

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The Lowdown on Solar Energy vs Wind Energy in the US

How much renewable energy does the US produce?

According to the US Energy Information Administration (EIA), renewable energy sources made up approximately 20% of the country’s utility-scale electricity generation capacity in 2020. This 20% lumps together the electricity generated by multiple renewable energy sources, including hydroelectric, geothermal, wind, and solar energy systems.

Renewable energy production breakdown:

• 7% production from hydroelectric sources
• 13% production non-hydroelectric sources (i.e., solar and wind power)

Though fossil fuels still account for the majority of the electricity produced in the US (about 60%), there is some good news: solar power and wind power account for the majority of new US electricity generating capacity in 2021.

To give you a better understanding of just how much solar vs wind energy there is in the United States, let’s look at the total existing installed inventory of solar energy megawatts (MW) and wind energy MW in the US.

What is a megawatt anyway? As you dive deeper into energy economics, you’ll see this term thrown around quite a bit. Simply put, a megawatt (MW) is a measurement of electricity. It is one million watts of electricity to be specific. MW are commonly used to describe generation or load consumption of power plants. For instance, a 75 MW rated wind farm is capable of producing 75 MW during peak winds, but will produce much less than its rated amount when winds are light. The ratio of a power plant’s average production to its rated “nameplate” capability is known as its ‘capacity factor’.

In 2020, installed solar energy inventory produced a total of 47,800 MW of usable electrical energy in the United states, while installed wind energy inventory produced a total of 117,700 MW of usable electrical energy.

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Solar vs wind cost to build

Now that you know the amount of wind energy currently produced in the United States is more than double the amount of solar energy produced, you may be wondering how much it costs to build a wind farm or solar farm.

According to the EIA, as of 2019 the average per kilowatt (kW) cost for onshore wind turbines was $1,391/kW. On the other hand, the average solar installation cost in 2019 was approximately $1,796/kW.

The average per kW building costs for solar and wind farms have declined steadily in recent years and will continue to decline as production and technology improve. At the same time, the average price for new energy production plants using fossil fuels has actually increased. For example, the cost of natural-gas-fired generator installation went up 10% from 2018 to 2019 (from $858/kW to $948/kW). 

As these dynamics continue to impact markets, the cost of producing energy from wind and solar are expected to drop below the cost of producing energy from fossil fuels. This is great for the future of renewable energy in the United States and around the world.

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Solar farm vs wind farm life cycles

In terms of energy production plants, what we mean when we say life cycle is the stages of the plant’s life.

Both solar energy and wind energy power plant life cycles start with conceptualization (and financing). This can take years, depending on the complexity of the project and local permitting requirements.

The next phases of both wind power and solar power plant life cycles are design and installation, which can take a year or more, depending on factors including the size of the project.

The longest stage of wind and solar farm life cycles is the operation phase, which also includes maintenance, repairs, and upgrades, and goes until the power plant’s eventual decommission.

Below is a breakdown of the stages of solar vs wind farm life cycles and estimates of how long each one lasts, though this is quite variable from project to project.

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Stages of a solar farm’s life cycle:

• Pre-planning and permitting (2+ years)
• Design and engineering (1+ months)
• Construction and solar panel installation (from weeks to months, depending on farm size and complexity)
• Operation and power generation (30-40 years)
• Decommissioning (year 30-40)

Stages of a wind farm’s life cycle:

• Prospecting for available wind sources (1+ years)
• Site development and design (1+ years)
• Construction and wind turbine installation (1+ years)
• Operation and power generation (year 4 through year 20-30)
• Decommissioning (year 20-30)

As you can see, both solar energy and wind energy facilities have very long life cycles, and can produce renewable energy for several decades. 

After a power plant’s life cycle comes to an end, the solar or wind power plant owners can decide to repower the farm by upgrading the existing infrastructure with new technology to begin operations anew, or they can decide to remove all the equipment and shut down the farm.

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What’s the potential of wind and solar energy to meet long-term electricity demand in the US and around the world?

By now you know that utility-scale wind farms and solar power plants are on the rise in the United States. Due to decreasing cost per production within the renewables space, traditional fossil-fuel-based energy sources are beginning to lose their competitive cost advantage. 

The combination of declining cost per production of renewables and the greater political and environmental needs are all leading to a greater proportion of renewable capacity in the US and around the world. 

According to some estimates, renewable energy sources, including solar power and wind power, are on track to rise more than 60% above 2020 levels of renewable energy production.

Outside of the US, China, India, and Europe are leading the way in the addition of new solar panels and wind turbines to generate power.

With record growth predicted, the next 5 years are going to be an exciting time for solar energy and wind power. 

There is massive potential for some of the world’s biggest countries to shift away from using fossil fuels to generate power and start transitioning to popular green energy alternatives.

Though wind power and solar power currently only account for about 2.2% and 1.1% of the world’s current energy mix, respectively, we are sure to see their market shares increase over the next few years.

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