Skip to main content

Stat Pack: EIA's Annual Energy Review 2004 (Part 5)

Today, in our continuing examination of EIA's Annual Energy Review 2004, we take a hard look at Section 8 (pdf) concerning the generation of electricity.

In 2004, it took the U.S. 40.77 quadrillion BTUs to produce 3,717 billion kilowatt-hours for consumption in the residential, commercial, industrial and transportation sectors. Fossil fuels provided 69% of that energy; nuclear, 20% and renewables, 10%. About two thirds of the energy (BTUs) consumed to create electricity was lost. Why?

Electrical system energy losses are calculated as the difference between total primary consumption by the electric power sector and the total energy content of electricity retail sales. Most of these losses occur at steam-electric power plants (conventional and nuclear) in the conversion of heat energy into mechanical energy to turn electric generators. The loss is a thermodynamically necessary feature of the steam-electric cycle.

Here's a chart comparing the share for fuels used for electrical generation between 1973 and 2004. When we look at the past thirty years, we can identify three important trends:

1) Electricity generation from oil has dropped by half;

2) Hydro generation was flat while U.S. electricity consumption more than doubled; and

3) Nuclear power generation increased more than eight fold.

Fossil fuels in 2004: Coal accounted for 70% of the mix; natural gas, 25%; and petroleum and other gases, 5%.

Renewables in 2004:
Hydro power made up about 75% of renewable generation in 2004. Wind and solar made a combined contribution of 5%. Wood, waste and geothermal accounted for the rest with about 20%.

Electric Capacity

The total electric capacity in the U.S. in 2004 was 968.1 gigawatts. Fossil fuels accounted for 77%; nuclear, 10%; and renewables, 12%. Here's a table which compares total capacity to actual generation:

The table shows nuclear capacity at 10% of the U.S. total. Yet nuclear contributes 20% of total electrical generation. Renewables have more capacity than nuclear, yet generate less than half as much electricity. What does that mean? It means that you don't have to build as much nuclear capacity to produce the same quantity of electricity.

Many people believe wind and maybe solar can provide a total solution for our future electricity needs. It's clear they can play a vital part in the equation (like solar may be able to play during peaking hours in the summer), however, they won't be sufficient in isolation.

Nuclear power has obvious advantages: It provides baseload electrical generation; forward price stability in the electrical marketplace; and promotes clean air. Once again, the choice in the marketplace shouldn't be between nuclear energy and renewables. In fact, it's pretty clear that we're going to need significant amounts of both to meet future demand.

For previous posts on EIA's Annual Energy Review click here, here, here and here.

Comments

Popular posts from this blog

Activists' Claims Distort Facts about Advanced Reactor Design

Below is from our rapid response team . Yesterday, regional anti-nuclear organizations asked federal nuclear energy regulators to launch an investigation into what it claims are “newly identified flaws” in Westinghouse’s advanced reactor design, the AP1000. During a teleconference releasing a report on the subject, participants urged the Nuclear Regulatory Commission to suspend license reviews of proposed AP1000 reactors. In its news release, even the groups making these allegations provide conflicting information on its findings. In one instance, the groups cite “dozens of corrosion holes” at reactor vessels and in another says that eight holes have been documented. In all cases, there is another containment mechanism that would provide a barrier to radiation release. Below, we examine why these claims are unwarranted and why the AP1000 design certification process should continue as designated by the NRC. Myth: In the AP1000 reactor design, the gap between the shield bu...

Wednesday Update

From NEI’s Japan micro-site: NRC, Industry Concur on Many Post-Fukushima Actions Industry/Regulatory/Political Issues • There is a “great deal of alignment” between the U.S. Nuclear Regulatory Commission and the industry on initial steps to take at America’s nuclear energy facilities in response to the nuclear accident in Japan, Charles Pardee, the chief operating officer of Exelon Generation Co., said at an agency briefing today. The briefing gave stakeholders an opportunity to discuss staff recommendations for near-term actions the agency may take at U.S. facilities. PowerPoint slides from the meeting are on the NRC website. • The International Atomic Energy Agency board has approved a plan that calls for inspectors to evaluate reactor safety at nuclear energy facilities every three years. Governments may opt out of having their country’s facilities inspected. Also approved were plans to maintain a rapid response team of experts ready to assist facility operators recoverin...

Nuclear Utility Moves Up in Credit Ratings, Bank is "Comfortable with Nuclear Strategy"

Some positive signs that nuclear utilities can continue to receive positive ratings even while they finance new nuclear plants for the first time in decades: Wells Fargo upgrades SCANA to Outperform from Market Perform Wells analyst says, "YTD, SCG shares have underperformed the Regulated Electrics (total return +2% vs. +9%). Shares trade at 11.3X our 10E EPS, a modest discount to the peer group median of 11.8X. We view the valuation as attractive given a comparatively constructive regulatory environment and potential for above-average long-term EPS growth prospects ... Comfortable with Nuclear Strategy. SCG plans to participate in the development of two regulated nuclear units at a cost of $6.3B, raising legitimate concerns regarding financing and construction. We have carefully considered the risks and are comfortable with SCG’s strategy based on a highly constructive political & regulatory environment, manageable financing needs stretched out over 10 years, strong partners...