Last Updated: June 20, 2024

Overview

Utah is a state of contrasts, from flat salt desert to rugged canyons, and from mountains soaring more than 13,000 feet above sea level in the northeast to the desert floor 9,000 feet lower in the southwest.¹ The state has a variety of energy resources, including crude oil, natural gas, coal, and several forms of renewable energy.² An arid state with abundant sunshine, Utah is among the states with the greatest solar resources.^3,4 Wind, hydropower, and geothermal resources are also major contributors to the state's electricity generation from renewables.⁵ About 80% of Utah's residents live in Salt Lake City and other communities along the Wasatch Front in the north-central part of the state.⁶ Although Utah was the sixth fastest-growing state by population between 2020 and 2023, most of the state is sparsely populated.^7,8

The energy industry is an important component of Utah's economy and royalties from energy development on extensive state trust lands typically are the largest source of income for Utah's public-school trust fund.⁹ About 63% of Utah's land is owned by the federal government, the second-highest share after Nevada's 80%.¹⁰ Utah has the fourth-highest number of producing crude oil and natural gas leases on federal lands, after Wyoming, New Mexico, and Colorado.¹¹

Energy use per capita in Utah is less than in two-thirds of the states.¹² The transportation sector leads Utah's energy consumption, accounting for about one-third of the state's total, followed by the industrial sector at one-fourth. The residential sector and the commercial sector each account for about one-fifth of the state's total end-use sector energy consumption.¹³ Despite temperatures that vary greatly with season and altitude, ranging from well above 100°F in the south in the summer to well below zero in winter at higher elevations in the north, per capita energy consumption in Utah is below the national average and less than in two-thirds of the states. Utah ranks among the 10 states with the lowest per capita energy consumption in the residential sector.^14,15 The state's economy is largely service-oriented with finance, insurance, and real estate as the biggest contributors, followed by government spending, professional and business services, and the manufacturing sector. Utah's energy intensity—the amount of energy needed to produce each dollar of state gross domestic product—is less than in two-thirds of the states.^16,17

Petroleum

Utah has 1% of the nation's proved crude oil reserves.¹⁸ In addition to conventional crude oil reservoirs, northeastern Utah overlays part of the Green River oil shale, a potential oil resource. Eastern Utah also has the largest U.S. deposit of oil sands.¹⁹ However, extraction technology for the state's oil shale and oil sand resources is water-intensive and uneconomic. The last company with an oil shale lease on property managed by the Bureau of Land Management—Enefit American Oil's South Project located in Utah's Uinta Basin—relinquished its lease in 2023.^20,21,22

Utah accounts for almost 1 in every 100 barrels of crude oil produced in the United States and 16 of every 100 barrels produced in the Rocky Mountain region.²³ Oil drilling operations and producing wells are concentrated in the Uinta Basin in northeastern Utah and the Paradox Basin of southeastern Utah.^24,25 Utah's crude oil production declined in 2020 following the drop in petroleum demand and oil prices during the COVID-19 pandemic, but the state's output recovered and in 2023 reached a new high, surpassing the prior year's record output.²⁶

Utah's five oil refineries, all located in the Salt Lake City area, process about 207,000 barrels of crude oil per calendar day. Much of the oil processed by the refineries arrives by pipeline from Utah, Colorado, Wyoming, and Canada.^27,28 Utah's refineries, which have almost two-fifths of the refining capacity in the Rocky Mountain region, produce mostly motor gasoline, diesel fuel, and jet fuel.^29,30 Pipelines carry refined products from the refineries to markets in Utah, Idaho, Nevada, Wyoming, eastern Washington, and Oregon. Petroleum products also enter Utah by pipeline from refineries in Wyoming and Montana.^31,32,33

Utah's per capita petroleum consumption ranks among the lowest one-third of the states.³⁴ The transportation sector uses about four-fifths of the petroleum consumed in the state.³⁵ To help reduce ground-level ozone during the summer months, Utah requires the use of motor gasoline blended with ethanol in the two densely populated counties in the north central part of the state, which includes the Salt Lake City metropolitan area. The rest of the state can use conventional motor gasoline that is not blended with ethanol.^36,37,38 Utah does not have any ethanol production facilities, and ethanol is brought in from other states to be blended with motor gasoline at Utah's fuel terminals.³⁹ About 3 in 100 Utah households use propane, fuel oil, or kerosene for home heating.⁴⁰ Total petroleum consumption in the state's residential sector is lower than in all other states but Hawaii.⁴¹

Natural gas

Although Utah holds less than 1% of the nation's proved natural gas reserves, the state has 3 of the 100 largest U.S. natural gas fields.^42,43 Utah's marketed natural gas production, most of which is in Uintah County in the northeastern corner of the state, accounts for about 1% of U.S. natural gas output.^44,45,46 The state's natural gas production rose steadily for three decades starting in the mid-1980s, and it peaked in 2012. Annual production decreased every year since in response to lower marketed natural gas prices and reduced crude oil drilling. However, natural gas production increased in 2022 for the time since 2012 and continued to rise in 2023.^47,48 Utah's coalbed methane production, which is natural gas produced from coal seams, peaked in 2007, when it accounted for almost one-fifth of the state's natural gas output. Coalbed methane production has gradually declined since then and in 2022 fell to about a third of its peak output and one-tenth of the state's natural gas output.^49,50,51

Utah is crossed by several interstate pipelines that transport natural gas from the Opal Hub in Wyoming, from the Piceance Basin in western Colorado, and from Utah's in-state production to markets in Nevada, Idaho, and Colorado.^52,53 Utah has 3 natural gas storage facilities with a combined storage capacity of almost 125 billion cubic feet, equal to slightly more than 1% of the nation's total natural gas storage capacity.⁵⁴ The Clay Basin facility, on the Utah-Wyoming border near Colorado, is the largest underground storage reservoir in the Rocky Mountain region and the 14th-largest in the nation. It can hold 120 billion cubic feet of gas.^55,56

In 2021, Utah's electric power sector became the state's largest consumer of natural gas for the first time and this trend continued in 2023, when it accounted for one-third of the state's natural gas use.⁵⁷ The residential sector took just over three-tenths of gas deliveries in the state. Almost 8 out of 10 Utah households use natural gas as their primary heating fuel, the highest share of natural gas home heating use for any state.^58,59 The commercial sector accounted for about one-fifth and the industrial sector for about one-sixth of natural gas consumption.⁶⁰

Coal

Utah has about 1% of the nation's estimated recoverable coal reserves and accounts for 1.2% of U.S. coal production. Utah had six active coal mines in 2022, the fewest number since mining operations began in Utah about 150 years ago.^61,62 Most active mines in the state are underground operations in central Utah. The only active surface coal mine is in the south near the Arizona border.^63,64 About three-fourths of the coal mined in Utah is consumed in the state, mostly for electricity generation. About one-fourth of Utah's mined coal is exported to other countries and the rest is sent to other states, primarily to California and Nevada where the coal is used mostly at industrial facilities and some power plants. Small amounts of coal are sent to Indiana, Oklahoma, Arkansas, Oregon, Tennessee, and Idaho. Utah receives coal by rail from Colorado for electricity generation.⁶⁵

After Utah's coal production increased in 2019 because of higher demand from the overseas export market, coal production continued to decline. In 2023, coal production declined to the lowest level in 49 years, partly due to the temporary closures and production problems at the Lila Canyon, Skyline, and Coal Hollow mines.^66,67,68,69 The state's coal output fell and mines shut down because of decreased demand for coal from the U.S. electric power sector.^70,71,72

Electricity

In 2023, coal fueled 46% of Utah's total electricity net generation, down from 75% in 2015, and natural gas accounted for 34%. Almost all of the rest of Utah's generation came from renewable energy sources, primarily solar power.⁷³ Solar energy powers about 93% of Utah's electric generating capacity added since 2015.⁷⁴ While the state does not generate any electricity from nuclear energy, plans for several nuclear power plants have been proposed since 2007.^75,76 PacifiCorp has announced that it is looking to replace two coal-fired power plants Emery County, Utah, with a nuclear power station by 2032.⁷⁷

Utah has the nation's only operating uranium production mill, the White Mesa Mill.⁷⁸ The state experienced several booms in uranium mining—in the 1950s during the Cold War, in the 1970s with the growth in the U.S. nuclear power industry, and in the mid-2000s when uranium prices increased. Mine closures followed when uranium demand and prices fell. The Utah mill processes uranium ore from mines in other states and from radioactive waste. There had been no uranium mine production in Utah since 2012.^79,80,81 However, with the rise in uranium prices and favorable government policies due to the import ban for uranium from Russia, uranium mining at the Pandora and La Sal mines in eastern Utah began in December 2023. This uranium is being processed at the White Mesa Mill.^82,83,84,85 Utah also has other mineral and metal deposits and is the only producer of beryllium—which has medical and defense applications—and is home to the second largest copper mine in the nation.^86,87,88

Utah generates about one-fifth more electricity than it consumes, and the state is a net supplier of power to other states.⁸⁹ Utah's Strategic Energy Plan expects natural gas-fired generation will replace coal and will back up intermittent generation from renewables like wind and solar power. The state updated its long-term energy plan in 2022.⁹⁰ No new coal-fired generators have been built in the state since 1993, but 67 natural gas-fired units have been put into service since then.⁹¹ High-capacity transmission lines are being constructed to bring renewable power from Wyoming and Utah to other western states, as well as to enhance reliability of electricity delivery within Utah.^92,93

Utah's total per capita electricity consumption is lower than in two-thirds of the states.⁹⁴ The commercial sector consumes the most electricity—almost two-fifths of the state's total. Electricity consumption in the residential sector accounts for one-third of the state's electricity use and the industrial sector accounts for almost three-tenths.⁹⁵ Utah's average electricity retail price is among the lowest 10 states.⁹⁶ Electricity is the primary energy source for home heating in about one in six Utah households.⁹⁷ Utah is creating an electric vehicle charging network that will have electric charging locations at least every 50 miles along the state's interstate highway system by the end of 2025.⁹⁸ Utah had 878 public electric vehicle charging locations in March 2024, 870 public only locations and 8 combined public and private locations.⁹⁹ The majority of these are clustered around Salt Lake City.¹⁰⁰

Renewable energy

In 2023, about 19% of Utah's total electricity generation came from renewable energy sources. Solar energy generated more electricity than any other renewable resource in the state. Electricity generation from all solar facilities, both small-scale (less than 1 megawatt) customer-sited solar panel systems and utility-scale (1-megawatt or larger) photovoltaic and thermal solar array farms, accounted for about three-fourths of the state's renewable generation and was nearly 50 times greater than in 2015.¹⁰¹ At the beginning of 2024, Utah ranked 14th among the states in the amount of solar power generating capacity, with 2,440 megawatts. Another 457 megawatts of utility-scale solar capacity are scheduled to come online by 2025.^102,103 The state requires investor-owned electric utilities and most electric cooperatives to offer net metering to their customers, which encourages installation of solar panels on residential rooftops.¹⁰⁴ In 2023, about one-fifth of the state's solar power came from small-scale generating systems and four-fifths from utility-scale solar generating facilities.¹⁰⁵

Wind energy produced about 10% of Utah's renewable electricity in 2023, surpassing in-state hydropower for the fourth time since 2016.¹⁰⁶ Utah has five wind farms operating with nearly 400 megawatts of generating capacity.¹⁰⁷ The state's two largest wind farms send power to southern California.¹⁰⁸ There is commercial wind power potential in the Wasatch and Uinta mountain ranges in Utah's north-central region and on the mesas in western Utah.¹⁰⁹

Hydropower made up 8% of the state's renewable generation in 2023.¹¹⁰ The annual amount of hydropower generation depends on water availability from seasonal rains and melting snow and the drought in some of the western states has impacted generation levels.^111,112 The state has 29 utility-scale hydroelectric plants, and half of those plants' generating units are more than 60 years old. The 1.2-megawatt Granite hydroelectric power station located southwest of Salt Lake City is the oldest, built in 1896 to provide electricity to the city's streetcar system.^113,114

Utah is one of seven states with utility-scale electricity generation from geothermal sources, ranking third behind California and Nevada. In 2023, three geothermal facilities in southwestern Utah provided about 8% of the state's renewable electricity generation.^{115,116,117,118} The state has some of the best geothermal potential in the nation, and more geothermal projects are in development.^119,120,121 In April 2022, the U.S. Interior Department offered 11 geothermal lease sale parcels totaling about 32,500 acres in the southeastern corner of Utah to encourage the development of geothermal electricity generation.¹²² In 2021, the U.S. Department of Energy provided $220 million for a project in southwestern Utah to improve drilling technologies for developing underground geothermal reservoirs.^123,124

Biomass, primarily in the form of landfill gas at facilities in the population centers on the Wasatch Front in north-central Utah, provided the remaining 1% of the state's renewable electricity generation in 2023.^125,126 A 3-megawatt biogas generating plant in Beaver County, Utah uses methane gas from pig manure to produce electricity.^127,128 Utah's wood biomass resources also provide feedstock for the state's one small wood pellet manufacturing plant, which has an annual production capacity of 9,000 tons.¹²⁹

Utah has a renewable portfolio goal that requires all electric utilities to pursue renewable energy when it is cost-effective. Each utility has a goal for 20% of its adjusted electricity retail sales to be generated from qualifying renewable sources by 2025. Renewable energy sources that meet this goal include: solar, wind, geothermal, hydropower, hydrogen, municipal solid waste, landfill gas, and farm animal manure.¹³⁰ Utah offers tax credits for both residential and commercial renewable energy generating systems.¹³¹

In June 2022, the Advanced Clean Energy Storage project in Utah received a $504 million loan guarantee from the U.S. Department of Energy. The loan guarantee will help finance the construction of the world's largest clean hydrogen storage facility, which would be capable of providing long-term low-cost, seasonal energy storage.^132,133 The project will use renewable energy sources to produce hydrogen and store it in underground salt dome caverns. The hydrogen will then power an 840-megawatt power plant, which is expected to be operational in 2025.¹³⁴

Endnotes

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² Utah Governor's Office of Energy Development, Utah's Energy Resources, accessed May 1, 2024.
³ Utah Geological Survey, Solar, Utah's Energy Resources, accessed May 1, 2024.
⁴ National Renewable Energy Laboratory, Direct Normal Solar Irradiance, updated February 22, 2018.
⁵ U.S. Energy Information Administration (EIA), Electricity Data Browser, Net generation for all sectors (thousand megawatthours), Utah, Annual 2001-23.
⁶ U.S. EIA, Utah Profile Overview, Map, Layers/Legend: Biomass Power Plant, population density, accessed May 1, 2024.
⁷ U.S. Census Bureau, State Population Totals and Components of Change: 2020-2023, Annual Estimates of the Resident Population for the United States, Regions, States, District of Columbia, and Puerto Rico: April 1, 2020 to July 1, 2023.
⁸ U.S. Census Bureau, 2020 Census: Utah Profile, Population Density by Census Tract.
⁹ State of Utah School and Institutional Trust Lands Administration, Fiscal Year 2023 Annual Report, p. 22.
¹⁰ Congressional Research Service, Federal Land Ownership: Overview and Data, (February 21, 2020), p. 7-8.
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¹² U.S. EIA, State Energy Data System, Table C14, Total Energy Consumption Estimates per Capita by End-Use Sector, Ranked by State, 2021.
¹³ U.S. EIA, State Energy Data System, Table C11. Energy Consumption Estimates by End-Use Sector, Ranked by State, 2021.
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²⁹ Vanden Berg, Michael, Utah's Energy Landscape, Circular 127, Utah Geological Survey (2020), p. 24.
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⁷³ U.S. EIA, Electricity Data Browser, Net generation for all sectors (thousand megawatthours), Utah, 2001-23.
⁷⁴ U.S. EIA, Preliminary Monthly Electric Generator Inventory (based on Form EIA-860M as a supplement to Form EIA-860), Inventory of Operating Generators as of April 2024, Plant State: Utah, Technology: Select All and Technology: Solar Photovoltaic.
⁷⁵ Webb, Dennis, "Green River nuke project's prospects questioned after loss of water source," The Daily Sentinel (November 29, 2021, updated January 3, 2023).
⁷⁶ Gardner, Timothy and Manas Mishra, "NuScale ends Utah project, in blow to US nuclear power ambitions," Reuters (November 9, 2023).
⁷⁷ Draper, Scott, "PacifiCorp Plans for the Future," ETV News (June 25, 2023).
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⁸¹ Utah Department of Environmental Quality, Waste Management & Radiation Control, Uranium Mills, updated December 21, 2023.
⁸² Energy Fuels Inc., "In Response to Surging Prices, Supportive Government Policies, and a Domestic Focus on Security of Supply, Energy Fuels Has Commenced Production at Three of its U.S. Uranium Mines," Press Release (December 28, 2023).
⁸³ U.S. EIA, Uranium Marketing Annual Report 2022 (June 13, 2023), Table S1b.
⁸⁴ U.S. Department of Energy, Office of Nuclear Energy, "Russian Uranium Ban Will Speed up Development of U.S. Nuclear Fuel Sully Chain," released May 14, 2024.
⁸⁵ "Production begins at three US uranium mines," World Nuclear News (December 22, 2023).
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¹⁰⁴ NC Clean Energy Technology Center, DSIRE, Utah, Net Billing, updated February 22, 2023.
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