US renewable energy is expected to overtake coal for the first month of its history

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The renewable energy sector is expected to generate more electricity than coal during the month of April, according to a recent report by the Institute for Energy Economics and Financial Analysis. This has never happened before.

"Five years ago, that would have never been close," said Dennis Wamstead, research analyst at IEEFA, in an interview. "The current transition in the electricity business in the United States has been phenomenal."

Even ten years ago, renewable energy in America had little presence other than hydroelectricity. But a wave of investments – first in the wind and then in the solar – has made these new technologies much cheaper.

At the same time, heightened awareness of climate change has led many US businesses, households and legislatures to demand cleaner energy.

"Renewable energies are only a better bet at the moment," Wamstead said.

The IEEEFA report cites US government statistics that projected renewable energies (hydropower, biomass, wind, solar and geothermal) will start to exceed sporadically coal in 2019 and 2020. In other words , renewable energies will probably start generating more energy than coal. gigawatts of remaining capacity, at least on a monthly basis, according to the US Energy Information Administration.

Such a step would emphasize the renunciation of coal, but it also partly depends on seasonal problems.

For example, some coal plants were shut down for maintenance in the spring when demand for electricity is low. Spring also tends to be a strong period for hydroelectricity and wind power.

Renewable energy should not exceed coal on an annual basis for several years at least.

It's only in 2016 that coal has been overtaken by natural gas as the # 1 energy source in America.

Low coal consumption in 39 years

The clean energy transition is accelerating.

According to EIA figures released earlier this year, renewable energy is expected to be the fastest growing source of electricity generation for at least the next two years.

Coal, on the other hand, continues to decline rapidly. The share of coal in total electricity production increased from 45% in 2010 to 28% in 2018. It is expected to fall to 24% in 2020.

Despite President Donald Trump's promise to rejuvenate the coal industry by reducing regulation, US coal appetite continues to decline. US coal consumption declined by about 4% in 2018 to reach its lowest level since 1979, according to EIA.

More coal mines are looming

The problem for coal is the economy. Wind and solar costs have dropped so much that 74% of the US coal fleet could be replaced by renewable energy while allowing customers to save money, according to a report released last month by the non-partisan Energy Innovation think tank.

And US coal plants do not rejuvenate. The coal plant is on average 40 years old, according to Wamstead. Coal-fired power plants generally last between 40 and 60 years before being phased out. As they age, these plants require more maintenance and repairs, making renewables all the more attractive.

Xcel Energy was a coal production company. Now it does not consume carbon anymore

"Many factories are setting the age of retirement to normal," Wamstead said.

Some energy companies are considering early retirement of other coal-fired power plants to better respect the environment.

For example, Xcel Energy (XEL) has closed a quarter of its coal plants and plans to disconnect another quarter. The Minneapolis – based electricity company recently announced a plan to produce zero – carbon electricity by 2050 – an ambitious goal that will require a large amount of wind and solar power. .

"The wind is already beating alternatives to fossil fuels, even with low natural gas prices," Xcel CEO Ben Fowke told CNN Business last month.

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