United States

United States

United States

Windpower Monthly rating 4.0/5

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Our rating is based on a combination of project pipeline, political and policy support, investor confidence and structural readiness of the country in terms of grid infrastructure, permitting process and local supply chain.

Estimate of installed and operating wind power capacity based on the latest statisitics and measured against the Windpower Intelligence database.

Onshore wind power in the United States has enjoyed a period of policy certainty following the 2016 decision to phase out its key incentive, the Production Tax Credit, over five years.

Over the previous two decades, one- or two-year extensions — often granted as the incentive was about to expire — had created a boom-and-bust cycle confusing developers and scaring off investors.

Uncertainty remains post-2021, but the industry says it is confident that it can operate at market prices by that time, with the rise of corporate power-purchase deals becoming an important driver.

State policy is vital, with policy makers in states such as Texas and Iowa more open to wind development.

Transmission is becoming a bigger issue, especially because of the need to ship vast amounts of generation in High Plains and Midwest states to load centres.

The nascent US offshore sector is finally set to take off, in part because offshore wind can be placed closer to major cities on the East and West Coasts. The US could have several gigawatts of offshore wind capacity in place by the mid 2020s.

Wind lobbyists are trying to get an extension to the Investment Tax Credit, which is also being phased out, as it is expected to be the main subsidy used by offshore developers.

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