U.S. power generation moves toward record levels as gas and renewables expand Image By EPN Staff Key Points U.S. electricity consumption reached a record 4,322 billion kilowatt-hours in 2024, and federal projections show demand will continue to rise in 2025 and 2026 due to data centers, electric vehicles and population growth. Natural gas remains the dominant U.S. power source at about 40 percent of electricity generation through at least 2026, while renewable energy approaches one quarter of the national mix as solar and wind capacity continue expanding. Texas illustrates how natural gas and renewables can grow simultaneously, with major increases in wind and solar capacity while gas plants reliably supply more than half of the state’s power during peak demand. New federal energy data shows that U.S. electricity generation continues to rise toward record levels as natural gas and renewable sources continue to grow side by side. According to the U.S. Energy Information Administration (EIA), the country consumed about 4,322 billion kilowatt-hours of electricity in 2024, the highest annual total reported, and it is expected to exceed that mark again over the next two years. Why it matters EIA forecasts show that electricity demand in 2025 and 2026 will exceed previous national records as large data centers, electric vehicles and population growth increase the country’s power needs. Additionally, projections from the EIA’s Short-Term Energy Outlook show that natural gas will remain the country’s leading source of electric generation, accounting for about 40% of in both 2025 and 2026. Renewables are approaching one-quarter of the overall national mix as developers continue to add new solar and wind capacity. The bigger picture One example of this side-by-side growth is Texas that has demonstrated how an “all-of-the-above” approach functions in practice. EIA data shows the state had more than 42 gigawatts of wind capacity and over 25 gigawatts of solar capacity by the end of 2024, both the largest totals in the country, while natural-gas plants continued to supply more than half of Texas’s electricity during periods of high demand. This mix has helped Texas meet rising power needs while broadening its generation portfolio. Nationally, developers plan to add new natural-gas capacity through 2028, and renewable-energy installations continue to increase as grid infrastructure and regional markets adjust. Additional context EIA projections show steady growth in overall U.S. electricity consumption, surpassing the record levels reached in 2025. The data also indicates that solar will contribute about half of new electric generation (33 of 64 GW of planned capacity), with battery storage, wind and natural gas power combined accounting for remaining capacity additions for 2025. SUGGESTED STORIES US natural gas consumption set to hit record high U.S. natural gas consumption will likely break a record this year, according to the Energy Information Administration, which predicts a 1% increase over last year due primarily to colder winter months that drove up heating demand. If the EIA’s prediction holds, U.S. Read more Oil and tech firms expand partnerships to boost efficiency and safety Oil and gas producers are forming new partnerships with major technology firms to integrate artificial intelligence, automation and advanced data analytics across their operations. Abu Dhabi National Oil Company (ADNOC) recently entered a strategic agreement with Mi Read more Texas has big plans for natural gas-fired power plants There are 130 new gas plants, or planned gas plant expansions, proposed or under construction in Texas, according to a new report from an environmental advocacy group. That would be enough to generate 58 gigawatts of new electricity capacity – roughly enough to power 48 million home Read more
US natural gas consumption set to hit record high U.S. natural gas consumption will likely break a record this year, according to the Energy Information Administration, which predicts a 1% increase over last year due primarily to colder winter months that drove up heating demand. If the EIA’s prediction holds, U.S. Read more
Oil and tech firms expand partnerships to boost efficiency and safety Oil and gas producers are forming new partnerships with major technology firms to integrate artificial intelligence, automation and advanced data analytics across their operations. Abu Dhabi National Oil Company (ADNOC) recently entered a strategic agreement with Mi Read more
Texas has big plans for natural gas-fired power plants There are 130 new gas plants, or planned gas plant expansions, proposed or under construction in Texas, according to a new report from an environmental advocacy group. That would be enough to generate 58 gigawatts of new electricity capacity – roughly enough to power 48 million home Read more
