REPORT: Clean Power Adds Record 50 GW in 2025 As Surging Electricity Demand Accelerates

Mar 5 2026


  • U.S. clean power delivers 90% of all new capacity added to the grid in 2025 as developers plug in a record 50,344 MW.
  • Energy storage installations jumped 41% year over year, exceeding 2024 levels bynearly 4GW and marking another record-breaking year for batteries.
  • Amid rising regulatory challenges,power purchase agreements (PPA)activity fell27% while pipeline growth slowedto 1%.

WASHINGTON, D.C. March 5, 2026 – The Ƶ Association (ACP) today released itsQ42025Clean Power Quarterly Market Report, showing the U.S. clean energy industry delivereditsstrongest yearon record.

Developers brought 18.6 gigawatts (GW) of new utility-scale solar, wind, and energy storageonlinein Q4 alone — pushing the 2025 annual total to more than 50 GW.That’senough electricity to power more than6.9million homes.

These three technologies accounted for 90.5% of all new power capacity in 2025and over 80% of capacity additions over the previous five years,according to ACP and theU.S. Energy Information Administration.Battery storageledthe charge, exceeding 2024 deployment bynearly 4GW — a 41% year-over-yearincrease.

“This record year showsthat our industry is resilient anddeliversthereliable, affordable energy that Americansneed,”saidACPChief Policy Officer, JC Sandberg.“Thesenumbersaren’tsurprising given the consistent market and policy environment the industry enjoyed heading into 2025.

While clean powerremainsone of themost affordablewaysto build the power generation America needs, the medium-term outlookremainsuncertain. The near-term pipelinerose toover187.5GWbutgrowth is slowing with onlytwoGW added during the fourth quarter.

Decline in Power Purchase Agreements Raises Concern

Althoughinstallations hit record highs in Q4of2025, power purchase agreements (PPAs) — a key indicator of future growth — declined 27% year over year, which signals lower clean power deployment in 2028-2030.Despite rapidly growing electricity demand, many buyers delayed decisions in the second half of theyear,awaitingclarity on federal policy and tax credit eligibility rules.

“Current policy instability is beginning to impact investor confidence and negatively affect project timelines at a time when demand is surging,” continued Sandberg. “With energy costs continuing to rise, limiting affordable clean energy generation deprives American families and businesses of needed relief. Butit’snot too late.Stable policythat supports multi-techenergy developmentcanhelp usmaintaintheincrediblemomentumthat has brought us to this record year.”

Q4 2025Market Report Findings

  • StrongestClean PowerYear on Record:Total clean power capacity installed in 2025 reached 50,344 MW — a 3% increase over 2024 and thefirst-timeannual deployment has surpassed 50 GW.
  • Storage Surges:Energy storage installations were 41% higher than 2024 —thepreviousrecord year. The storage development pipeline continues to expand, growing 2% year-over-year, signaling sustained long-term demand.
  • Medium-termPipelineOutlookIncreasinglyUncertain:The near-term pipelinerose to187,514 MW. However, growth is slowing with onlytwoGW added during the fourth quarter.A27% year-over-year drop in PPA announcements is an early warning sign for lower clean power deployments in 2028-2030.
  • Offshore Wind Under Pressure:No new offshore wind capacity came online in Q4, and the pipeline contracted following project cancellations. Continued federal and regulatory interference is creating additional headwinds for the sector.
  • ValuePropositionfor States:Clean power is delivering low-cost power, jobs, and a boost to local economies across the U.S. —with projects operational in all 50 states.Nineteenstates grew their clean power capacity by more than 20% in 2025, with Kentucky increasing its capacity by 188% to reach the Top 10 for 2025 solar installations.Increasedadoption is set to continue: 35 states have more than 1 GW of clean power in the pipeline.

The full report and underlying datasets are available exclusively to ACP members.