At a glance
- Storage capacity would rise from 28.9 GW in the first quarter of 2025 to 66 GW at the end of this year.
- For developers and the lenders underwriting them, 26 GW in a single year is a volume to finance.
- Coal's share of generation will likely decline from 17% in 2025 to 15% by 2027, EIA said.
The US electric power sector could install more than 26 GW of battery storage next year, the Energy Information Administration said, supporting a renewable resource base expected to supply almost a quarter of 2027 consumption.
Storage capacity would rise from 28.9 GW in the first quarter of 2025 to 66 GW at the end of this year. By the end of 2027 capacity would reach 91.7 GW, counting systems of 1 MW or greater, according to the short-term outlook reported by Utility Dive.
For developers and the lenders underwriting them, 26 GW in a single year is a volume to finance. Coal capacity of 13 GW is scheduled to retire by the end of next year, EIA said, which sets the timing for that replacement capacity to be in service.
Coal's share of generation will likely decline from 17% in 2025 to 15% by 2027, EIA said. Gas is forecast to hold an average share of about 40% across 2026 and 2027 and nuclear 18%.
Coal consumption in the power sector has fallen relative to 2025 in eight of the 10 months so far this year, which EIA attributed to wind and solar additions and a 9% decline in the sector's average gas price in the second and third quarters. The agency projects a further 5% decline in 2027, driven by a 19% drop in gas prices for generators, and expects solar and wind to add about 72 GW and 20 GW of capacity, respectively, this year and next.
Reported by the Energy Transition desk from Utility Dive. Published . Corrections