Fossil power rebounds as gas, policy shifts slow clean energy: EDF — SkimNews
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- EDF reported that federal policy shifts and load growth projections are pushing utilities toward natural gas, with planned fossil capacity now "comparable to that for solar and wind" and a market share potentially not seen since the early 2010s.
- Rising gas turbine costs and supply shortages are making new gas plants more expensive and slower to build, prompting some developers to pivot to clean alternatives, EDF's David Villagrana said.
- Wood Mackenzie (Oct. 8) found gas generation investment is entering a supply deficit cycle through the late 2030s driven by data center load growth, a dynamic that keeps thermal capital costs elevated.
- Clean energy project cancellations rose to nearly 5% of a planned 281.7 GW in 2025, while fossil fuel cancellations dropped in 2024 and stayed low through the first half of 2026.
- The Trump administration is issuing emergency orders to keep coal plants operating past retirement dates and funding new coal plants and retrofits, EDF said.
- An Energy Innovation analysis cited by EDF found a 2022-style coal and gas price spike could push electricity costs up by $40.5 billion per year under a fossil-heavy scenario.
Why it matters: The pivot toward fossil generation exposes consumers to decades of fuel price volatility — a 2022-style gas price spike could add $40.5 billion per year in electricity costs under a fossil-heavy buildout. Gas turbine supply constraints through the late 2030s may make even the fossil pivot slower and costlier than utilities are currently planning for.
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