US Gas-Fired Capacity Surges Ahead of China

A new report from Global Energy Monitor shows that the United States is building twice as much natural gas-fired power generation as China, driving a historic buildout of gas-fired capacity. The US has 378 gigawatts (GW) of gas-fired generation announced, in pre-construction, or under construction, up 50 percent in six months.

Half of this capacity, 189 GW, is planned specifically to power data centers, nearly double the total at the end of last year. The report highlights America's growing advantage over international competitors, with the US building roughly twice as much gas-fired generation as China (52 GW versus 24 GW) and having nearly three times as much capacity in development.

The primary drivers of natural gas demand are large-load customers like data centers, which need an abundant supply of reliable power. States with large natural gas reserves are leading the buildout, with Texas accounting for nearly one-third of US gas-fired capacity in development (122 GW), more than any country outside the US.

However, developers face challenges due to turbine supply backlogs and regulatory uncertainty caused by local data center moratoriums and pushback. To address this, developers are turning to alternative pathways for turbine supply, such as reciprocating engines and smaller aeroderivative turbines.