CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

Renewable power installation slumps across the US

By Munikoti Rochan

19:12, 27 July 2022

A man stands on a ladder to clean solar panes, in New Jersey, US.
US clean energy development dropped in Q2 of 2022 - Photo: Getty Images

Renewable energy (RE) development across the United States slowed a great deal in the quarter through June, dragged down by “Congressional inaction”, trade issues and pandemic-triggered delays, according to industry group American Clean Power (ACP).

Solar and wind power installations slumped by 55% year over year during the period under review, the second-quarter of 2022, with just 3,188 megawatts (MW) of utility-scale green power capacity installed.

Energy storage was the only technology to experience growth, with a 13% increase in installations, per the latest Clean Power Quarterly Market Report.

Tesla Inc share price

Solar installations were down 53% compared to the corresponding quarter in 2021, while onshore wind installations were 78% lower as against the year-ago period. That made the second-quarter the lowest quarter for renewable energy capacity additions since the third-quarter of 2019.

What is your sentiment on Natural Gas?

Vote to see Traders sentiment!

First Solar Inc share price

The ACP also said that elevated commodity prices, supply-chain issues and higher operating costs weighed down on the rate of clean power development in the country.

Invesco Global Clean Energy ETF price chart

“Our member companies are ready to make the investment decisions necessary for building America’s clean energy economy, but the current business and policy environment is slowing the rate of deployment,” ACP chief executive Heather Zichal commented.

“We have been warning about the storm of policy and economic headwinds the clean power industry is facing, and this is a step in the wrong direction. Congressional inaction and uncertainty on long-term tax policy, tariff and trade restrictions, and transmission constraints all impact the demand for clean energy at a time when we need to be rapidly scaling up development,” Zichal added.

‘Misguided trade actions’

Solar projects were the most prone to delays, with nearly 21GW of projects currently delayed – much of which is a direct result of misguided trade actions, said the report. Solar accounts for 64% of all projects delayed.

Across the US, Texas led RE development activity in the second-quarter with 23,665MW underway, representing 18% of the total project development pipeline. The ‘jumbo state’ was followed by California (13,710MW), New York (10,809MW), Indiana (7,099MW) and Virginia (6,456MW).


250.10 Price
+1.170% 1D Chg, %
Long position overnight fee -0.0262%
Short position overnight fee 0.0039%
Overnight fee time 21:00 (UTC)
Spread 0.19


171.66 Price
+0.360% 1D Chg, %
Long position overnight fee -0.0262%
Short position overnight fee 0.0039%
Overnight fee time 21:00 (UTC)
Spread 0.13


127.14 Price
+0.730% 1D Chg, %
Long position overnight fee -0.0262%
Short position overnight fee 0.0039%
Overnight fee time 21:00 (UTC)
Spread 0.19


8.03 Price
+2.700% 1D Chg, %
Long position overnight fee -0.0262%
Short position overnight fee 0.0039%
Overnight fee time 21:00 (UTC)
Spread 0.04

Many large projects were commissioned during the quarter ended 30 June, with the biggest being:

  • The 260MW DeCordova Energy Storage project in Texas, owned by Vistra Corporation.
  • RWE’s Hickory Park Solar and Storage project located in Georgia.
  • The 201MW Golden Hills wind project, in Oregon. Owned and developed by Avangrid, the wind farm uses turbines from Vestas and GE Renewables.

100% clean energy target

President Joe Biden’s administration wants all of the US to be powered by sustainable energy by 2035.

90% of the US, could be powered by clean energy, claimed a report by the University of California, Berkeley.

The rapid buildout of additional green energy would inject $1.7trn (EUR1.66trn / GBP1.39trn) of investment into the world’s largest economy, increase energy sector jobs by up to 530,000 per year through 2035, without raising consumer bills, per the 2035 Report: Plummeting Solar, Wind, and Battery Costs Can Accelerate Our Clean Energy Future.

US natural gas price chart

The target year of 2035 provides sufficient time for most coal and gas-fired power plants to recover their fixed costs, thereby avoiding the risk of stranded costs for investors and consumers, as long as the right policies are in place, the report said.

Existing gas plants, used infrequently and combined with storage, hydropower, and nuclear power would be sufficient to meet demand during periods of extraordinarily low renewable energy generation or exceptionally high electricity demand.

Power generation from natural gas plants would drop by 70% in 2035, when compared to 2019, it added.


Markets in this article

Tesla Inc (Extended Hours)
250.10 USD
2.9 +1.170%
First Solar Inc (Extended Hours)
162.25 USD
1.05 +0.660%
Invesco Global Clean Energy ETF
15.49 USD
0.09 +0.590%
Natural Gas
Natural Gas
2.9700 USD
0.001 +0.030%
35.205 USD
0.54 +1.560%

Rate this article

Related reading

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as an investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.

Still looking for a broker you can trust?

Join the 555.000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading