The De-Electrification of the U.S. Economy

The De-Electrification of the U.S. Economy

Apr 13, 2017

by Margarita Fournier; Copyright 2016 by Competitive Assets, LLC.  All rights reserved

On 4/12/17, Bloomberg explored an interesting new phenomenon: as the economy keeps growing, electricity use in the U.S. remains below its 2007 level, and seemingly flatlining, and “the change is even more dramatic if you measure on a per-capita basis.” “This is a really big deal! For one thing, it’s yet another explanation — along with tighter federal emissions rules, the natural gas fracking boom, and the rise of solar and wind power — for why the past few years have been so tough on coal miners. It means that even a big pro-coal policy shift from Washington may not result in higher demand for thermal coal. For another, it seems to settle a turn-of-the-millennium debate about the electricity demands of the digital economy.”

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