U.S. ENERGY INFORMATION ADMINISTRATION
WASHINGTON DC 20585
FOR IMMEDIATE RELEASE
DECEMBER 05, 2003
After Declining in 2001,
U.S. Electricity Generation Grows 3.3 Percent in 2002
Net electricity generation in the United States resumed its historical path of almost continual growth in 2002, reaching 3,859 billion kilowatthours, 3.3 percent higher than in 2001, according to information released today by the Energy Information Administration in the Electric Power Annual 2002. This contrasts with a decline in generation of 1.7 percent in 2001, only the second time in the past 50 years that net generation declined.
Average revenue per kilowatthour, a measure of price that reflects the average cost to customers, declined by 2 percent to 7.21 cents per kWh.
Independent power producers’ share of net generation increased from 20.9 percent in 2001 to 24.8 percent in 2002, continuing the substantial increases that began in the late 1990s. This growth was a result of both new plant construction by independent producers and plant sales by investor-owned utilities. Combined heat and power plants remained fairly constant from 1997 through 2002 at 8 to 9 percent of total net generation.
Additional highlights from the report include:
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In 2002, coal plants accounted for 50 percent of generation and nuclear plants for 20 percent of generation, although coal and nuclear plants provided only 35 percent and 11 percent of total capacity, respectively. Because coal and nuclear units are typically operated as base load generators (the generating equipment normally operates to serve loads on an around-the-clock basis), their generation share exceeds their capacity share.
- Total net summer generating capacity was 905 gigawatts, 6.7 percent more than in 2001, which compares to a 4.5-percent increase between 2000 and 2001. Over 85 percent of the capacity additions came from new natural gas plants.
- Consumption of coal for electricity generation in 2002 was up 1.5 percent from 2001, to 988 million short tons. The use of petroleum for electricity generation decreased 22 percent to 169 million barrels in 2002. Consumption of natural and other gases used for electricity generation increased 7.7 percent to 6.8 trillion cubic feet in 2002.
- The weighted average delivered cost of natural gas to electricity generators decreased 20.7 percent between 2001 and 2002. Even with this sharp decline, natural gas prices remained significantly above the prices generally seen in the 1990s. The weighted average delivered cost of fuels per million Btu in 2002 was $1.22 for coal, $3.67 for natural gas, and $3.25 for petroleum.
- Nitrogen oxides emissions have decreased by 31 percent since 1991, despite a 26- percent increase in electricity generation in the same time period. Despite yearly fluctuations, sulfur dioxide emissions were 32-percent less in 2002 than they were in 1991. While both sulfur dioxide and nitrogen oxides emissions are regulated under the Clean Air Act, there are no regulatory limits on carbon dioxide emissions. Carbon dioxide emissions have continued to rise steadily since 1991 resulting in a 25-percent increase in 2002 over 1991 levels.
- Total retail electricity sales rose by 2.8 percent from their 2001 level to 3,463 billion kilowatthours. Annual revenues from these retail sales increased by 1 percent to $250 billion.
The Electric Power Annual 2002 is available on EIA’s Internet site at:
http://www.eia.doe.gov/cneaf/electricity/epa/epa_sum.html Printed copies of the report will be available in December from the U.S. Government Printing Office, 202/512-1800 or through EIA’s National Energy Information Center, 202/586-8800.
The report described in this press release was prepared by the Energy Information Administration, the independent statistical and analytical agency within the U.S. Department of Energy. The information contained in the report and the press release should be attributed to the Energy Information Administration and should not be construed as advocating or reflecting any policy position of the Department of Energy or any other organization. |
EIA Program Contact: Robert Schnapp, 202/287-1787 EIA Press Contact: National Energy Information Center, 202/586-8800 EIA-2003-18 File Last Modified: December 5, 2003
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