Resource Use: July 2025

Supply and fuel consumption

In this section, we look at the resources used to produce electricity. Generating units are chosen to run primarily on their operating costs, of which fuel costs account for the lion's share. Therefore, we present below, electricity generation output by fuel type and generator type. Since the generator/fuel mix of utilities varies significantly by region, we also present generation output by region.

Generation output by region

Net electricity generation in the United States increased 3.8% compared to July 2024. All areas of the country, except for the West, saw an increase in electricity generation compared to the previous year. The Northeast saw the largest year-over-year increase in electricity generation (up 8.0%), mainly due to states experiencing record or near record temperatures this July, which led to a significant increase in the demand for electricity compared to last year. The West was the only outlier of all the regions due to many states in this region experiencing record or near record temperatures the previous July. This led to a significant increase in the demand for electricity in this region during July 2024 as opposed to this July, with the West seeing a 7.4% year-over year decrease in electricity generation this July compared to the previous year.

Electricity generation from coal increased in most parts of the country, with only Florida (down 3.7%) and the West (down 3.6%) observing a decrease in coal generation compared to July 2024. The change in electricity generation from natural gas was more mixed, with the Northeast (up 10.9%), MidAtlantic (up 2.9%), and Southeast (up 0.1%) seeing an increase in natural gas generation, while the Central (down 1.9%), West (down 19.5%), Florida (down 2.0%), and Texas (down 2.6%) all seeing a decrease in natural gas generation compared to July 2024.

Fossil fuel consumption by region

The chart above compares coal consumption in July 2024 and July 2025 by region and the second tab compares natural gas consumption by region over the same period. Changes in coal and natural gas consumption were similar to their respective changes in coal and natural gas generation.

The third tab presents the change in the relative share of fossil fuel consumption by fuel type on a percentage basis, calculated using equivalent energy content (Btu). This highlights changes in the relative market shares of coal, natural gas, and petroleum. Most regions of the country saw their share of coal increase at the expense of natural gas.

The fourth tab presents the change in coal and natural gas consumption on an energy content basis by region. The changes in total coal and natural gas consumption were similar to the changes seen in total coal and natural gas net generation in each region.

Fossil fuel prices

To gain some insight into the changing pattern of consumption of fossil fuels over the past year, we look at relative monthly average spot fuel prices. A common way to compare fuel prices is on an equivalent $/MMBtu basis as shown in the chart above. The average price of natural gas at Henry Hub increased from the previous month, going from $3.10/MMBtu in June 2025 to $3.31/MMBtu in July 2025. The natural gas price for New York City (Transco Zone 6 NY) also increased from the previous month, going from $2.48/MMBtu in June 2025 to $2.97/MMBtu in July 2025. The average spot price of Central Appalachian coal remained unchanged from the previous month at $3.40/MMBtu.

A fuel price comparison based on equivalent energy content ($/MMBtu) does not reflect differences in energy conversion efficiency (heat rate) among different types of generators. Gas-fired combined-cycle units tend to be more efficient than coal-fired steam units. The second tab shows coal and natural gas prices on an equivalent energy content and efficiency basis. The Henry Hub natural gas price ($26.50/MWh) saw an increase from the previous month ($24.86/MWh) and was below the Central Appalachian coal price ($36.69/MWh) in July 2025. The price of natural gas at New York City ($23.82/MWh) also saw an increase compared to the previous month ($19.90/MWh) and was below the Central Appalachian coal price ($36.69/MWh).

The conversion shown in this chart is done for illustrative purposes only. The competition between coal and natural gas to produce electricity is more complex. It involves delivered prices and emission costs, the terms of fuel supply contracts, and the workings of fuel markets.