Capital cost of energy production in the U.S. 2024, by technology

Nuclear energy remains the most capital-intensive energy source in the United States, with estimated costs ranging from 8,765 to 14,400 U.S. dollars per kilowatt in 2024. This high investment requirement reflects the complex infrastructure and safety measures needed for nuclear power plants. Despite the high costs, nuclear energy plays a significant role in the U.S. energy sector, accounting for around 20 percent of the country’s electricity generation in 2023.

Cost comparison of U.S. energy sources

While nuclear energy tops the list in capital costs, other energy sources present varying levels of investment. Offshore wind power, for instance, requires substantial upfront capital, with estimates ranging from 3,750 to 5,750 U.S. dollars per kilowatt. In contrast, utility-scale solar photovoltaic (PV) systems offer more affordable options, with capital costs between 850 and 1,400 U.S. dollars per kilowatt. These differences in capital costs contribute to the overall levelized cost of electricity (LCOE), which factors in lifetime expenses and energy production. Onshore wind energy and utility-scale solar PV boasted the lowest unsubsidized LCOE in the U.S. in 2024.

Renewable energy trends in the United States

The U.S. energy landscape is evolving, and renewable energy supply has grown significantly owing to federal policies that have made it more affordable. The Biden administration has bolstered clean energy projects, resulting in solar PV accounting for 66 percent of the total electricity capacity additions in 2024. The funds of the Inflation Reduction Act (2022) have also heavily boosted the domestic onshore and offshore wind sector. However, the renewable energy sector is projected to face challenges under President Trump, who has called for revoking IRA investments and slowing the growth in the country’s wind generation capacity.