2023 Reflections and 2024 Forecasting

As we approach the end of 2023, our team is taking a look back at what happened in the energy sector and specifically at Evergy Energy Partners. Throughout the year, EEP has monitored the ups and downs of the industry, working to adapt to the challenges and provide excellent counsel to our clients. Join us in this look back as we go through the key moments and challenges that shaped the energy industry and EEP's own path this year, before looking ahead to what 2024 could bring.

Key Moments of 2023

Inflation Reduction Act

While the Inflation Reduction Act (IRA) passed in August of 2022, its impacts throughout the last year were significant as most elements of the act did not go into effect until January 1st, 2023. Called the “most significant action Congress has taken on clean energy and climate change in the nation's history,” the IRA opened up significant new resources for clean energy development products. Throughout the year, over 280 new clean energy projects were announced in response to the act. At EEP, our team also worked to advise clients on how their projects could be eligible for incentives and bonuses created by the IRA.

Decarbonization Efforts

As the industry anticipates large increases in energy demand by 2050 in tandem with calls for more renewable sources, power providers must begin planning and adapting to meet these evolving requirements. This year, experts discussed the potential of decarbonization to help solve this issue. Decarbonization is a fundamental goal aimed at shifting away from activities and technologies that contribute to climate change. The idea is to replace these carbon-intensive practices with cleaner and more sustainable alternatives. The path to decarbonization presents us a unique opportunity to significantly reduce greenhouse gas emissions and proactively address the escalating demand for electricity. By taking these steps, power providers can adeptly navigate the evolving energy landscape, making substantial progress towards a cleaner and more sustainable planet. 

Our Team’s Accomplishments in 2023

2023 was a big year for our renewable development team, especially when it came to new solar projects. This year, we broke ground on a new solar development in Osawatomie, Kansas and celebrated with a ribbon cutting ceremony on the FreeState solar project in Shawnee and Douglas counties in Kansas. This new solar development will produce just under 4 MW of renewable energy, enough to power approximately 767 homes for residents in the area.

While we are passionate about clients to access clean energy and to diversify their energy portfolio in a way that is manageable for them, we also are focused on our own impact. Half the power Evergy supplies is clean energy, and by 2045 our energy will be completely carbon neutral.

2024 Forecasting

Our Team’s Outlook

Despite uncertainty in the energy industry, our team believes there’s lots to be optimistic about in the year ahead. We’re excited to take on the challenges ahead and continue providing excellent service to our clients, both current and future.

In 2024, we’re looking ahead to more exciting clean energy developments. Throughout the year, we anticipate celebrating groundbreaking ceremonies in Osage City, KS; Kennett, MO; and Chanute, KS.

Industry Trend Forecasting

Looking to what could lie ahead in 2024 for the industry more globally, our team is especially interested in the Federal Energy Regulatory Commission’s recent Winter Energy Market and Electric Reliability Assessment. According to the report, natural gas prices are expected to be lower this winter than in previous years as the result of growing production and high natural gas storage levels. This price decrease is despite continued growing demand. Of course, there are nuances to this national forecast — in the Southwest Power Pool region, natural gas prices are expected to increase this winter, but the region will still have the lowest wholesale electricity prices on average of any region.

Tracking trends and predicting the future of the industry can be overwhelming, especially with so many different angles to analyze. Our team is passionate about the energy industry and has our pulse on what 2024 could bring, and we’d love to help you get a jumpstart on strategically planning for next year.