USA
Federal Position
The USA federally has maintained a level of support for renewables, despite not ratifying the Kyoto Accord. R&D has been carried out into a wide range of renewable energy technologies. And most visibly its Production Tax Credit (PTC) system has stimulated major growth of wind energy with 5.2GW of capacity constructed in 2007, bringing the total installed then to 16.8GW. The use of biofuels too, and in particular ethanol from grain, has received a deal of international attention. It seems likely to presage an evolution to the widespread use of a range of bio-materials for liquid fuels through future generations of conversion technologies.
A new administration will take over government shortly. Whichever party wins, and despite short term uncertainties such as surround the need to renew the PTC, it seems most likely that policies and programmes will be introduced to increase the use of renewable energy from its present share of 6% of primary energy, and to catch up with Europe and other regions.
Regional Leadership, and Growing Markets
Meanwhile many states, local authorities, and corporations have introduced initiatives to increase their use of renewable energy; and to position themselves for a future economy that reflects their value more fully. All but four US states now have policies to promote renewable energy. [California already gets over 31% of its electricity from renewable resources; 12% of this comes from non-hydro sources such as wind and geothermal energy. Texas, whose history is closely identified with the oil industry, now has the country’s fastest growing wind energy business, with large projects underway from the state’s western mountains to the Gulf of Mexico. And Iowa now produces so much ethanol that if it were all consumed in-state, it would meet half of Iowa’s gasoline requirements.]
Energy and engineering companies have entered this market. Offshore oil and gas companies too are engaging with offshore renewables, including offshore wind, and marine current and wave energy conversion. And at smaller scale, microgeneration, including solar and small-scale wind, is also enjoying high growth.
UK Opportunities
The US market is effectively accessible to UK companies, particularly on a business-to-business level and where continued high growth is resulting in the familiar supply chain and grid constraints. A number of UK companies across a range of technologies have successfully engaged with this market, and US companies are also working into the UK; including interests in our offshore wind and marine energy capabilities and markets.
UK Renewables and UKTI from the US Posts continue to encourage and support this business development, which is reflected in our programmes of events.
Information on the USA can be found at:
The Energy Information Administration compiles and disseminates statistics on energy production and consumption in the US and globally.
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