High gas prices pushed the grid back to coal in 2025. (EIA)
Wholesale electricity prices climbed across most of the Lower 48 in 2025, driven by a 56% spike in natural gas spot prices (averaging $3.52/MMBtu). In New England, this translated to a $29/MWh jump in power costs.
With gas becoming expensive, generators flipped the script. Natural gas-fired generation fell 3%, while cheaper coal-fired generation rose 11% to fill the gap. Solar also boomed, jumping 32% YoY.
Where matters: In PJM and MISO, coal largely replaced expensive gas. In Texas, however, soaring demand (+5%) was met almost entirely by a massive influx of new solar (+20 BkWh), pushing gas output down even as the state consumed more power.