Just as coal recedes from the power generation mix, renewable energy sources are becoming more competitive and are ready to take the place of many of the retired coal plants, especially in the western half of the United States.

“Coal plant retirements have been a market opportunity for natural gas producers historically,” BTU Analytics LLC wrote in a recent commentary, “Coal Retirements and Renewables Face Off.” These opportunities may be limited going forward, though.

“As coal retirements [migrate] west over time, strong renewables development in the West will erode much of the potential future benefit of coal retirements for natural gas producers,” the BTU Analytics commentary said. It noted that this region will primarily utilize renewable energy sources to replace coal-fired generation.

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