Where do you see that generating capacity has dropped and demand has increased? As I mentioned, that is not even possible with electricity. It is much like a municipal water system. You can't produce more water than what is consumed. You can store some in water towers, like you can store some...
I do believe the article is misleading. Different from oil, you can't produce more electricity than what is being consumed or the grid voltage/frequency will get out of the permitted bounds, so this line "overall electricity generation in the U.S. has dropped from 4.005 trillion kWh in 2007 to...