According to Reuters article published on May 9, 2023, U.S. power consumption will ease in 2023 from last year's record high as slower economic growth and milder weather depress usage, the U.S. Energy Information Administration (EIA) said in its Short-Term Energy Outlook (STEO) on Tuesday.
EIA projected power demand will slide from a record 4,048 billion kilowatt-hours (kWh) in 2022 to 4,031 billion kWh in 2023, before rising to 4,081 billion kWh in 2024 as economic growth ramps up.
That compares with an eight-year low of 3,856 billion kWh in 2020, when the coronavirus pandemic depressed demand.
EIA projected 2023 power sales would ease to 1,507 billion kWh for residential consumers and 996 billion kWh for the industrial sector, but rise to 1,377 billion kWh for commercial customers.
That compares with all-time highs of 1,522 billion kWh for residential consumers in 2022, 1,382 billion kWh in 2018 for commercial customers and 1,064 billion kWh in 2000 for industrial customers.
EIA said the natural gas share of power generation would rise from 39% in 2022 to 40% in 2023 before sliding to 38% in 2024. Coal's share will drop from 20% in 2022 to 17% in 2023 and 16% in 2024 as gas and renewable output rises.
"As electricity providers generate more electricity from renewable sources ... we expect that the United States will generate less electricity from coal this year than in any year this century,” EIA Administrator Joe DeCarolis said in a note.
The percentage of renewable generation will jump from 22% in 2022 to 23% in 2023 and 26% in 2024. Nuclear power's share will hold at 19% from 2022-2024.
EIA projected 2023 gas sales would slide to 13.16 billion cubic feet per day (bcfd) for residential consumers, 9.61 bcfd for commercial customers and 22.50 bcfd for industrial customers, but rise to 33.34 bcfd for power generation.
That compares with all-time highs of 14.32 bcfd in 1996 for residential consumers, 9.66 bcfd in 2022 for commercial customers, 23.80 bcfd in 1973 for industrial customers and 33.20 bcfd in 2022 for power generation.
