Renewable Energy Supply Chain Growth: Record Investments and Technology Breakthroughs Drive Transformation
The biofuels sector is experiencing dramatic growth, with U.S. renewable diesel production capacity reaching 4.1 billion gallons annually by late 2023 and projected to exceed 7 billion gallons by 2025 (EIA). According to the American Biogas Council, the RNG sector demonstrated strong momentum with a 17% year-over-year increase in production facilities while preventing approximately 5.1 million metric tons of CO2 emissions annually.
The EV battery market continues its rapid evolution. BloombergNEF reports battery pack prices falling to $139/kWh in 2023, approaching the critical $100/kWh threshold for price parity with internal combustion engines. Global battery manufacturing capacity is set to reach 5.8 TWh by 2027 (Benchmark Mineral Intelligence), with CATL maintaining a 37% market share.
The low-carbon hydrogen sector has attracted significant investment, with the Hydrogen Council and McKinsey identifying over 680 large-scale projects representing $240 billion in direct investments through 2030. Production costs for green hydrogen have decreased to below $4/kg in optimal locations, though $5-6/kg globally.
