The United States is on track to install a record 89 GW of clean energy capacity in 2026, with further growth expected in 2027. Expanding data centers, rising electricity demand and expiring federal tax credits are driving investment, even as developers face higher costs and regulatory uncertainty.
Clean energy in the US expected to reach record installation levels
Renewable energy in the United States is expanding rapidly, with record levels of new capacity expected in both 2026 and 2027. The acceleration in solar and wind development is being driven by a rush to qualify for federal tax credits before they expire, alongside growing electricity demand from data centers.
According to BloombergNEF’s latest US Clean Energy Market Outlook, the United States is expected to add a record 89 gigawatts of clean energy capacity in 2026, with installations projected to exceed that level in 2027. The anticipated growth comes despite mounting challenges for developers, including higher financing costs, trade barriers and uncertainty over equipment prices and availability.
BNEF also projects that the country could add 67.8 GW of new natural gas-fired power capacity by 2030.
“When we look at the overall picture, we still see data center growth as a tailwind for renewables, but that is being complicated by the expanding network of gas pipelines,” said Hall Welborn, one of the report’s authors.
Meanwhile, a bipartisan bill that the Senate plans to consider after the midterm elections seeks to accelerate the development of both fossil fuel and renewable energy projects. Democratic senators have included provisions intended to prevent presidents from unilaterally blocking projects, responding to President Donald Trump’s efforts to halt offshore wind development.
The White House has endorsed the legislation, potentially improving its prospects in the House of Representatives if Republicans retain their majority.
AI and data center expansion drive US electricity demand
The rapid expansion of artificial intelligence and data centers is increasingly shaping forecasts for US electricity consumption.
BNEF now expects installed data center capacity to reach 118 GW by 2030, a 52% increase over its December 2025 forecast. Average electricity demand from data centers could reach 120 GW by 2035, approximately five times current levels. AI-related computing is expected to account for nearly half of the projected increase.
A substantial share of new data centers will be powered by on-site natural gas plants. Although the United States is the world’s largest producer of natural gas, rising demand is expected to strain domestic supplies, with the market projected to shift from a supply surplus to a deficit as early as 2028.
However, the AI boom is also creating new opportunities for clean energy developers.
BNEF has raised its forecast for new onshore wind capacity through 2036 by 15%, to 99.7 GW, partly reflecting increased electricity demand from data centers.
The outlook highlights how data center expansion is simultaneously supporting renewable energy investment and encouraging further development of natural gas infrastructure.
US renewable energy capacity keeps growing despite project cancellations
The United States added approximately 26 GW of new clean energy capacity in the first half of 2026, including 11.5 GW of solar, 8.3 GW of battery storage and 6.3 GW of wind power.
The figures were published in The State of Clean Power in Q2 2026, a report by the Environmental Defense Fund and Atlas Public Policy.
In May 2026, solar power surpassed coal in the US electricity generation mix for the first time.
The wind and solar facilities installed during the first six months of the year could generate enough electricity annually to power 5 million American homes.
Yet the expansion of clean energy in the US is taking place alongside a growing number of project cancellations.
During the same period, developers canceled 14.9 GW of planned or under-construction clean energy capacity. Nearly all the canceled projects involved solar power or battery energy storage.
Another notable finding concerns the geographic distribution of renewable energy development. Approximately 76% of planned and under-construction clean energy capacity is located in Republican-held congressional districts, with significant concentrations in Texas, Arizona, Oregon and California.
Texas, in particular, is expanding renewable energy development at a record pace. Wind and solar projects are being approved and built considerably faster than in most other US states.
The figures underscore the continued momentum behind renewable energy investment, even as federal policy uncertainty and project cancellations complicate the outlook for the industry.
