Renewable Energy Update: Key Trends and Developments

Renewable Energy Update: Key Trends and Developments

Here are several recent and ground-breaking developments in the renewable energy industry in Virginia, across the nation, and around the globe. 

 

GreeneHurlocker Supports Development of World’s First Commercial Fusion Power Plant

Commonwealth Fusion Systems (CFS), the world’s largest private nuclear fusion company, has selected Chesterfield County, Virginia, as the site for the world’s first grid-scale fusion power plant. CFS expects to generate approximately 400 megawatts of electricity, enough to power 150,000 homes, and begin delivering to the grid in the early 2030s. GreeneHurlocker is proud to provide regulatory, land use, and transactional legal counsel to CFS for this transformative project, which is projected to bring major economic benefits to the Richmond region. 

 

Virginia “State Preemption” Bills Pared Back in Face of County Opposition

So far, this session of the Virginia General Assembly is seeing greater success in pro-utility scale solar bills making their way through the committee process toward potential floor votes.  However, maybe predictably, the ambitious approach of the most significant proposals has been scaled back. Two bills, House Bill (HB) 2126 and Senate Bill (SB) 1190, as originally introduced, embodied the Virginia Commission on Electric Utility Regulation (CEUR)’s goal to give the state more control over large-scale solar projects. Opposition by the Virginia Association of Counties led to a “watering down” of the legislation to leave local governments still in ultimate control of their solar project decision-making. Although, a new apparatus would be created to monitor how the counties are doing, shouldering their share of the clean energy transition and advising counties on project decisions if asked. Among other changes, gone is the section essentially mandating a model solar ordinance. Even with the changes, it is unclear whether Governor Glenn Youngkin will sign such a bill—and the legislation is still far from being on his table.

 

Texas Dominates Renewable Energy Generation and Capacity 

New data from Cleanview and the US Energy Information Administration shows that Texas has emerged as the leading state for renewable energy generation and development. Over the past five years, Texas has increased the state’s solar capacity by 800%, wind capacity by 50%, and battery storage capacity by 5,500%. Those impressive numbers have led to the state starting 2025 with 42,000 MW of wind power, 22,000 MW of solar farms, and 6,500 MW of utility-scale battery capacity. 

 

Taxpayers Expect to See 4x Return on Investment from the IRA

According to a December American Clean Power Association report, American taxpayers can expect $2.7 trillion in economic benefits from the Inflation Reduction Act over the next decade. This would be a four-fold return on the IRA’s $656 billion cost. The report outlines how the $740 billion in tax credits are expected to unlock trillions for investment and spending in the power, building, and transportation industries, generating an average of 1.2 million jobs per year and a total increase of $846 billion in Americans’ disposable income from energy cost savings.  

 

Renewables Produced 24% of US Electricity in First 10 Months of 2024

Two year-end reports from US regulatory agencies revealed that renewables now account for 30% of the country’s utility-scale generating capacity, which is expected to grow to 37% by 2027. In the first 10 months of 2024, almost a quarter of US electricity generation came from renewables. Notably, solar also became the fourth largest source of electrical generating capacity, surpassing nuclear and hydropower last year.  

 

These recent developments and data underscore the dynamic nature of the renewable energy industry. From revolutionary power sources to regulatory changes and market trends, the landscape is evolving rapidly, offering both challenges and opportunities for stakeholders in the renewable energy space. If you have any questions or require assistance navigating these developments, please contact our renewable energy law specialists.

Author

Jared Burden
jburden@greenehurlocker.com
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