Much like California's legislative leadership, the Biden/Harris administration is stuck in a mindset driven by environmental activists, unable to adapt to the changing energy demands of the future. By focusing narrowly on specific clean energy sources, they are overlooking the crucial role that natural gas can play as a vital resource for a sustainable future while meeting current and growing energy needs.
Across the nation, U.S. companies are building new natural gas-fired power plants at a historic rate to accommodate surging demand from AI data centers, manufacturing facilities, and electric vehicles. This construction boom underscores a pressing reality: the renewable energy sources that the administration champions—solar and wind—are not yet capable of meeting the energy needs of a growing economy on their own.
Recent power outages in California, including the cancellation of events at the Hollywood Bowl due to insufficient power, demonstrate the limitations of these renewable sources. While solar and wind should be a part of our long-term energy strategy, our leaders must take a more pragmatic approach to address immediate and future energy demands over the next 5 to 20 years.
The growing energy demand has led power companies to slow the retirement of gas plants and increase investments in new ones. The numbers tell the story: according to data from Bloomberg Intelligence, 2024 is on track to see the most new gas-fired generation capacity since 2017. Major utility companies are even canceling renewable projects to prioritize gas-fired capacity in their future plans.
AI’s rapid growth depends on innovations from Silicon Valley and the natural gas fields that provide the power required to sustain this technological advancement. Without clear and comprehensive policy reform—including faster approval of energy infrastructure projects—the administration risks stalling progress in sectors critical to the nation’s economic future.
While renewable energy remains critical to our future, the current energy demand is real and immediate. The administration must broaden its perspective and recognize the vital role natural gas plays in ensuring a stable and reliable energy supply today and in the years ahead.