The U.S. energy sector is undergoing a seismic transformation, with renewable energy sources accounting for a staggering 98.4% of all new electricity generating capacity added in January 2025, according to a Federal Energy Regulatory Commission (FERC) report analyzed by the SUN DAY Campaign. Solar and wind power led the charge, continuing a record-breaking trend that has left fossil fuels scrambling to keep pace.
Solar Extends Dominance to 17 Straight Months
Solar energy solidified its position as the uncontested leader of America’s clean energy transition, contributing 2,945 megawatts (MW) of new capacity in January—68.2% of all additions. This marks the 17th consecutive month (dating back to September 2023) where solar has outpaced all other energy sources in new installations.
The surge was driven by landmark projects across the country. In Florida, Florida Power & Light brought twelve new solar farms online, each generating 74.5 MW. Indiana’s Dunns Bridge Solar Project, a 435-MW behemoth, now powers approximately 80,000 homes. Texas, a state better known for oil derricks, hosted three major solar installations: the 245.8-MW Porter Solar Farm, the 240.6-MW 7V Solar Project, and the 195.4-MW Angelo Solar Farm. Ohio also joined the fray with the 190-MW Atlanta Farms Solar Project, underscoring solar’s expanding footprint in the Midwest.
Solar’s growth isn’t just utility-scale. While FERC’s data excludes rooftop solar, independent analyses estimate small-scale systems add another 30% to solar’s total capacity, pushing renewables’ combined share of U.S. generating capacity to nearly one-third.
Wind Energy Roars Back with Record January
Wind power, after a sluggish 2024, staged a dramatic comeback in January 2025, adding 1,301 MW of new capacity—its strongest January performance on record. This accounted for 30.1% of new capacity, with much of the growth fueled by cutting-edge projects designed for efficiency and scale.
Wyoming’s windswept plains hosted two titans: the 390.4-MW Cedar Springs Wind IV and the 330-MW Boswell Wind Farm, where turbines tower over 500 feet tall. Illinois’ 300-MW Prosperity Wind Farm and Oregon’s 201-MW Golden Hills Wind Farm Expansion further demonstrated wind’s ability to thrive in diverse geographies. Advances in turbine technology, including taller towers and longer blades, have unlocked stronger wind resources even in regions previously deemed marginal.
Renewables Now Command Nearly One-Third of U.S. Grid Capacity
As of January 2025, solar and wind account for 10.5% and 11.8% of total U.S. utility-scale generating capacity, respectively. Combined, they represent 22.3% of the nation’s energy mix—enough to power every home in California, Texas, and Florida combined. When including hydropower (7.6%), biomass (1.1%), and geothermal (0.3%), renewables claim 31.3% of total capacity.
Factoring in small-scale solar—a sector FERC doesn’t track—renewables’ share jumps to one-third of all U.S. generating capacity. This milestone puts renewables on pace to overtake natural gas as the nation’s primary energy source by 2028.
Fossil Fuels Face “Irreversible Decline”
Natural gas, once hailed as a “bridge fuel,” managed a paltry 60 MW of new capacity in January—just 1.6% of the total. Oil contributed a negligible 11 MW, while coal posted zero new projects. FERC’s three-year forecast paints an even bleaker picture for fossil fuels:
Coal: Projected to shed 24,940 MW of capacity by 2028.
Oil: Expected to decline by 2,237 MW.
Natural Gas: A mere 455 MW of net growth anticipated.
By contrast, FERC’s “high probability” pipeline for renewables includes 89,033 MW of new solar and 22,312 MW of wind by 2028. Solar alone will soon surpass coal and nuclear power in total installed capacity, claiming 16.2% of the grid versus coal’s 12.4%.
The Policy Wildcard
While renewable energy’s momentum appears unstoppable, policy shifts under the Trump administration could introduce turbulence. The Biden era’s clean energy incentives—including tax credits and grants—helped fuel solar’s record growth. However, the SUN DAY Campaign warns that regulatory rollbacks or subsidy cuts could slow progress.
“The question isn’t whether renewables can dominate—they already are,” said Ken Bossong, the SUN DAY Campaign’s executive director. “The question is whether policymakers will accelerate this transition or cling to last century’s energy playbook.”
What Comes Next?
The numbers don’t lie: Solar and wind are adding capacity 30 times faster than fossil fuels. By 2028, renewables are projected to supply 37.4% of U.S. generating capacity, with natural gas slipping to 40.2%. Including small-scale solar, and renewables could overtake gas entirely.
For homeowners and businesses, this shift translates to cheaper, cleaner energy—and unprecedented opportunities to participate through rooftop solar, community wind projects, and battery storage. Innovations like hybrid solar-wind systems and vehicle-to-grid technology promise to further democratize energy access.
As the U.S. grid evolves, one thing is clear: The renewable revolution isn’t just underway—it’s winning.
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