DOE Report Shows Continued Growth U.S. Wind Power Market

The U.S. Department of Energy (DOE) released its first "Annual Report on U.S. Wind Power Installation, Cost, and Performance Trends: 2006", which provides a detailed and comprehensive overview of development and trends in the U.S. wind power market. Most notably, the report concludes that U.S. wind power capacity increased by 27% in 2006; and that the U.S. had the fastest growing wind power capacity in the world in 2005 and 2006. More than 61% of the U.S.’s total wind capacity – over 7,300MW – has been installed since 2001.

"As we work to implement President Bush’s Advanced Energy Initiative by increasing the use of home-grown, clean, affordable and renewable energy, we are eager to continue the trend of increasing the use of wind power at unprecedented rates," DOE Assistant Secretary for Energy Efficiency and Renewable Energy Alexander Karsner said. "Another record-breaking year of the United States installing more wind generating capacity than any other nation is indicative of the President’s durable, pro-growth energy policy. With DOE’s support, wind power is one of the most important, emissions-free sources of energy being deployed to address climate change and improve our energy security."

In 2006, for the second straight year, the U.S. led the world by installing 2,454MW of wind power capacity, enough to power the homes in a city the size of Philadelphia. The U.S. produced roughly 16% of the worldwide wind market, followed by Germany, India, Spain, and China.

The report specifically analyzes trends in the marketplace including wind power prices compared to wholesale electricity prices, project costs, turbine sizes, and developer consolidation. It also describes the increasing performance of wind projects, current ownership and financing structures, and trends among major wind power purchasers. By collecting this information in one publication, the report is intended to provide a valuable resource to industry participants, energy regulators, and state and local policymakers.