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Symbiosis: Renewable Energy and Natural Gas Driving The Energy Transition: Episode 14


Wind and solar are fast-growing, low-cost sources of electricity. However, on average, they only deliver power 28% of the time due to intermittency. Storage in batteries is expensive relative to the use of natural gas [1].

Use of natural gas is therefore growing as an advantaged choice for power generation, offering lower costs by serving as a cleaner fuel versus coal for new investments in base load 24/7 power generation. The large natural gas distribution system in the U.S. provides the storage and transmission needed for high reliability and resiliency in power generation [Figure ET-18], offsetting the intermittency of renewable wind and solar power.

A substantial portion of natural gas used in power generation is supplied to 鈥減eaker plants鈥, which can respond rapidly to changes in renewable wind and solar power production. Peaker plants operate less than 20% of the time, on average, to enable 24/7 power when wind and solar are not available [3] (Figure ET-19).

Thus, there is a symbiosis between variable renewable energy and dispatchable power from natural gas, which鈥攗nlike electricity鈥攃an be stored at low cost in caverns and pipelines. Both renewable wind and solar, and natural gas are growing together to meet the expanding needs of U.S. consumers for heat and power [4].


 
References 
1. McKinsey (2024).  
2. Natural gas infrastructure:  
3. US Energy Information Administration, Today in Energy, February 22, 2024.  
4. Series Episode 12, /energy/eti/episodes/episode-12.php
 
 US natural gas pipeline and storage network [2].      
Figure ET-18:  US natural gas pipeline and storage network [2]. 
 

Natural gas-fired capacity factors vs. application
Figure ET-19:  Natural gas-fired capacity factors vs. application [3]