Fighting for market share: gas and renewables

How much room will coal and nuclear plant retirements leave for gas and renewables?

By 2024, nearly 47 GW of coal capacity and 5 GW of nuclear capacity will be retired, leaving 3.1 bcfde demand unfulfilled. To fill the gap, developers are likely to take advantage of local and federal tax credits, which have made wind and solar more economically attractive. As a result, by 2024, we expect renewables to absorb nearly 3.2 bcfde of power demand. So where does this leave gas?

The effect of decarbonisation on the power market

Although growing renewable build will compete with natural gas capacity, new coal and nuclear plant retirements will pave the way for natural gas generation balances to nearly double by 2035. In addition, overall power demand growing at a 0.7% CAGR highlights the extent of the shifting sentiment away from baseload coal and nuclear supply. Still, while natural gas demand from the power sector will experience a near-term bump, the longer-term trend will not pick up until the mid-2020s.

In our exclusive insight, we discuss these trends as well as:

  • Coal and nuclear retirements
  • Renewables
  • Gas-fired generation
  • the North American regions driving growth

To download our in-depth insight on how coal and nuclear retirements will change the outlook for gas and renewables, fill in the form.