Power consumption in the U.S. is expected to fall in 2023 from its record high in 2022 as warmer weather may curb the heating demand, according to the Short-Term Energy Outlook released by the Energy Information Administration (EIA) on December 12.

It is expected to fall from 4,070 TWh in 2022 to 4,011 TWh in 2023, lower than the prediction of 4,022 TWh last month, the report said.

According to the report, the U.S. power consumption is forecast to increase to 4,103 TWh in 2024, lower than 4,116 TWh of last month's projection due to accelerated economic growth.

U.S. residential electricity consumption is predicted to decline 2.92% on the year to 1,465 TWh and industrial consumption to slide from 1,020 TWh last year to 1,018 TWh in 2023, data showed.

In 2024, U.S. residential power consumption is expected to increase again to 1,525 TWh and industrial electricity use to 1,033 TWh.

The report said natural gas share of the U.S. power generation is estimated to rise from 39% in 2022 to 42% in 2023 and remain at 42% in 2024. Coal's share will drop from 20% in 2022 to 17% and 15% in 2023 and 2024 respectively with growing output of natural gas and renewable energy.

The share of renewable generation is predicted to go up from 21% in 2022 to 22% in 2023 and further rise to 24% in 2024, while the share of nuclear power will remain steady at 19% in 2023 and 2024 compared to 2022.

EIA projected the average U.S. natural gas consumption will reach 89.46 billion cubic feet per day (bcfd) in 2023, an increase of 1.13% year on year. Of this, residential consumption is expected to be 12.57 bcfd, down 7.57% year on year; commercial use to 9.2 bcfd, down 4.27% on the year; and industrial use to decline from 23.39 bcfd in 2022 to 23.36 bcfd in 2023.