Slow Growth for Renewables

Despite strong growth in demand for ethanol in fuel, renewable energy consumption in the U.S. increased slightly less than 1% last year, according to the Energy Departments Energy Information Administration (EIA).

Total energy consumption grew faster than did renewables, rising nearly 2% in 2004 to 100.3 quadrillion Btu. Use of petroleum and natural gas supplied most of the increase. Renewables accounted for 6.1 quadrillion Btu or 6% of total U.S. energy demand.

EIA says the electric power and industrial sectors continued to dominate renewable energy use in 2004, but the transportation sector experienced the greatest growth, 24%. This was largely due to the expanding use of fuel ethanol as states continued to phase out methyl tert-butyl ether (MTBE) as a gasoline additive.

Total U.S. electricity generation increased 2% in 2004, but renewable-generated electricity dropped 1% as a result of reductions in hydropower and biomass energy. Wind power increased rapidly—by 27%—but it still accounted for only 0.4% of the U.S. total. Overall, renewable electricity supplied 9% of net generation last year. By mid-2005, EIA says 22 states had adopted renewable portfolio standards or mandates.