Renewable Energy Has an Advantage in Construction Speed — OilPrice
Solar and wind power plants can increase generation more quickly amid rising electricity consumption by data centers, industry, electrification and cooling systems. As OilPrice reports, the time it takes for new capacity to start supplying electricity is becoming an increasingly important factor in power system planning alongside cost.
According to the International Energy Agency’s forecast, global electricity consumption by data centers will more than double by 2030 and reach about 945 TWh. This is slightly more than Japan’s current electricity consumption, the article notes.
Shorter construction timelines
According to Lazard’s estimates for 2025, construction of a utility-scale solar power plant may take around 15 months, an onshore wind farm 18 months, and an offshore wind farm 24 months. Rooftop solar installations can be mounted within several days after permits are obtained and equipment is delivered.
By comparison, a new combined-cycle gas power plant requires about two years of construction, a coal-fired plant from five to five and a half years, and a nuclear power plant about seven years. At the same time, the full project implementation cycle, including planning and permitting procedures, may be longer for any technology.
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The article’s author notes that solar and wind projects consist of a large number of mass-produced components that can be installed in parallel and commissioned in stages. This makes it possible to begin generating revenue before the entire project is completed and reduces risks associated with changes in interest rates, inflation, regulatory decisions and cost overruns.
Turbine shortages and grid constraints
The traditional advantage of gas generation in terms of speed is also weakening because of turbine shortages. In the third quarter of fiscal year 2026, Siemens Energy delivered turbines with a total capacity of 6 GW, while its gas turbine order backlog stood at 69 GW. The company reported delivery times of three years or more. At GE Vernova, the order backlog and reservations of manufacturing slots for gas equipment reached 116 GW in the second quarter of 2026, with deliveries already being reserved for 2031.
At the same time, renewable sources cannot independently ensure a stable electricity supply: solar generation depends on the time of day, while wind generation depends on weather conditions. The article states that their rapid deployment requires energy storage, flexible consumption and grid development, while existing hydroelectric, gas and nuclear power plants can provide firm capacity.
The IEA estimates that more than 2,500 GW of renewable energy, storage and large consumer projects are in queues worldwide. Construction of new transmission lines can take from five to 15 years. According to the agency’s estimate, renewable sources will provide nearly half of the additional electricity consumption of data centers by 2035.
