According to a report by Mordor Intelligence, the renewable energy market in the US is expected to reach 434.5 gigawatts (GW) in 2024. The market is projected to grow further at a compound annual growth rate (CAGR) of 10.01% and reach 700.15 GW by 2029. This growth is driven by a number of factors, including the decline in solar panel costs, the rise in the installation of solar and wind energy, favorable government policies, and additional renewables subsidies.
The recent short-term energy report by the US Energy Information Administration (EIA) shows a positive outlook for renewable energy in the US. According to the report, the decline in US electricity generation by natural gas and coal will drive growth in the renewable energy market in 2025, registering a drop of 1% and 3%, respectively. An increase in renewable energy generation is expected, primarily driven by solar-powered energy. In 2023, the electric power sector expanded its solar capacity by 19 GW. The country expects to add 36 GW in 2024 and an additional 35 GW in 2025. With this increased solar capacity, solar-powered renewable energy generation will account for 6% of the total electricity generation in the United States. You can also check the biggest solar companies in the world.
Major Players in the Renewable Energy Market
Some of the major companies providing renewable energy services and products in the US market include Duke Energy Corporation (NYSE:DUK), Avangrid, Inc. (NYSE:AGR), and Nextracker Inc. (NASDAQ:NXT). Let's discuss these companies in detail below.
Duke Energy Corporation (NYSE:DUK) is one of the top renewable energy companies in the USA. On March 22, the company announced that it has appealed for the Public Service Commission of South Carolina's (PSCSC) approval to construct a 76 MW utility-scale solar power facility in Chesterfield and Darlington counties. This proposed plant by Duke Energy Corporation (NYSE:DUK) commits to bringing sustainable and affordable clean energy options to South Carolina. If the plant gets approval, its construction will begin in 2026 on the 345-acre site. The plant will deliver fuel-free power to meet the rising energy demand of the Pee Dee region of South Carolina.
Avangrid, Inc. (NYSE:AGR) is a leading renewable energy company, serving over 7 million people with a developed renewable energy capacity of 8.7 GW. It is also one of the biggest wind energy companies in the world. On February 9, the company, along with the global green energy leader Copenhagen Infrastructure Partners, announced that the first five GE Haliade-X turbines for the Vineyard Wind 1 project are now operational. The project will provide clean energy to 30,000 households and businesses in Massachusetts. The large-scale offshore wind 1 project in the US is delivering nearly 68 MW to the New England grid. The steady stream of energy provided by the project will meet the winter energy demand of the region. The project, once fully operational, will be the largest renewable facility in New England, boasting a capacity of 806 MW. This capacity would be sufficient to supply clean energy to 400,000 homes and businesses in the Commonwealth. Governor Maura Healey said that this project by Avangrid, Inc. (NYSE:AGR) is a turning point in the nation's clean energy transition. She further highlighted how clean energy will help the nation achieve its net-zero goal. Healey Said:
“Across Massachusetts, in 30,000 homes and businesses, when you turn on the light, you will now be using clean, affordable energy. This will make the air we breathe safer and healthier, save customers money, and bring us one step closer to achieving net-zero emissions.”
Nextracker Inc. (NASDAQ:NXT) is a renewable power generation company headquartered in California. It provides solar energy solutions such as utility-scale solar power, solar power plant performance monitoring, and tracking systems. On February 12, the company announced that it has been selected for a repeat order to supply its solar trackers of 1.5 GW and 375 GW by Sterling and Wilson Renewable Energy Ltd (NSE:SWSOLAR), a leading renewable solutions provider in India. The solar trackers will be utilized for phase two and phase three solar projects at the solar park of NTPC Renewable Energy Limited in Gujarat, India. The tracker selected for the plant is Nextracker Inc.'s (NASDAQ:NXT) NX Horizon smart solar tracker, which is one of the most reliable and widely deployed trackers of the company. It boasts high speed, installation ease, and the ability to provide tracking services for challenging sites. This order marks the completion of over 5 GW of collaborative solar power generation projects by Nextracker Inc. (NASDAQ:NXT) and Sterling and Wilson Renewable Energy Ltd (NSE:SWSOLAR).
Now that we have discussed the US renewable energy market, let's look at the 20 states that produce the most renewable energy in the US.
20 States That Produce the Most Renewable Energy in the US
A typical home improvement project with workers installing a residential solar energy system.
Methodology
To compile our list of the 20 states that produce the most renewable energy in the US, we consulted the energy generation dataset from the US Energy Information Administration (EIA). The database provides net generation data of states by energy sources. We summed the data available for renewable energy sources (solar, wind, hydroelectric power, biomass, geothermal, and wood and wood-derived fuels) for each state and ranked them in ascending order of their net renewable energy generation in terawatt hours (TWh), as of 2022.
20 States That Produce the Most Renewable Energy in the US
20. Arizona
Renewable Energy Generation (2022): 14.14TWh
Arizona is ranked 20th on our list of the states that produce the most renewable energy in the US. In 2022, the renewable energy generation of the state was 14.14 TWh.
19. Alabama
Renewable Energy Generation (2022): 14.27 TWh
Alabama is ranked 19th on our list. In 2022, the state generated 14.27 TWh of renewable energy in the US. Hydroelectric-powered renewable energy had the highest share of the net renewable energy generation of the state.
18. South Dakota
Renewable Energy Generation (2022): 14.58 TWh
South Dakota ranks 18th on our list. The major renewable sources of power generation in South Dakota include hydropower, biomass, solar, and wind. It generated 14.85 terawatt hours of renewable energy in 2022.
17. Nevada
Renewable Energy Generation (2022): 14.99 TWh
Nevada is one of the top states that produce the most renewable energy in the US. In 2022, the total renewable energy generation of the state was 14.99 TWh. Solar-powered energy had the highest share of the net renewable energy production of the state in 2022.
16. Florida
Renewable Energy Generation (2022): 15.58 TWh
Florida produced 15.58 terawatt hours of renewable energy in 2022. It is ranked 16th on our list of the states that produce the most renewable energy in the US.
15. Georgia
Renewable Energy Generation (2022): 15.85 TWh
Another state that produces the most renewable energy in the US is Georgia. It produced 15.85 TWh of renewable energy in 2022. Solar energy had the highest share of the total renewable energy production of Georgia in 2022
14. New Mexico
Renewable Energy Generation (2022): 16.60 TWh
New Mexico is ranked 14th on our list. The state's renewable energy generation is mainly powered by wind energy. In 2022, it produced 16.6 TWh of renewable energy.
13. North Dakota
Renewable Energy Generation (2022): 18.04 TWh
North Dakota is ranked 13th on our list of the states that produce the most renewable energy in the US. In 2022, the state produced 18.04 TWh of renewable energy.
12. North Carolina
Renewable Energy Generation (2022): 18.32 TWh
Ranked 12th on our list, North Carolina generated 18.32 terawatt hours of renewable energy in 2022. The major contributor to the net renewable energy generation of the state is solar-powered energy.
11. Minnesota
Renewable Energy Generation (2022): 19.13 TWh
Minnesota ranks 11th on our list of the states that produce the most renewable energy in the US. In 2022, the total renewable energy produced by the state was 19.13 terawatt hours.
10. Colorado
Renewable Energy Generation (2022): 20.82 TWh
Colorado ranks 10th on our list. Wind energy generation accounted for over 80% of the total renewable energy production in the state in 2022. The total renewable energy generated by the state was 20.82 TWh.
9. Illinois
Renewable Energy Generation (2022): 25.44 TWh
Illinois generated 25.44 TWh of renewable energy in 2022. It is one of the top states that produce the most renewable energy in the United States.
8. Kansas
Renewable Energy Generation (2022): 29.85 TWh
Kansas is ranked 8th on our list. In 2022, the state produced 29.85 terawatt hours of renewable energy. The major contributor to the renewable energy production of the state is wind energy.
7. New York
Renewable Energy Generation (2022): 35.66 TWh
New York is ranked 7th on our list. In 2022, the state generated 35.66 TWh of renewable energy. Hydroelectric power had the highest share of the total renewable energy production of the state in 2022.
6. Oklahoma
Renewable Energy Generation (2022): 39.72 TWh
Oklahoma is ranked 6th on our list of the states that produce the most renewable energy in the US. In 2022, the state produced 39.72 TWh of renewable energy. Wind power had the highest share of the total renewable energy power generation in Oklahoma.
