NextEra Energy on March 20 confirmed that President Trump has approved the development of up to 10 gigawatts of natural gas powered generation in Texas and Pennsylvania.
The approval, made in connection with Japan's $550 billion investment commitment to the United States as part of a U.S.-Japan trade deal, "positions NextEra Energy to work with the administration to develop reliable, large-scale power infrastructure to support America's growth and technological leadership," it said.
The investment is subject to negotiation and execution of definitive documents by NextEra Energy and various constituents, as well as NextEra Energy's completion of development, construction and commissioning of the selected projects.
The projects, which would be owned jointly by Japan and the U.S. under the structure of the joint trade agreement, would be built and operated by NextEra Energy.
The projects, which include NextEra Energy's previously disclosed Texas hub developed in coordination with Comstock Resources, are designed to support growing electricity demand, strengthen the U.S. industrial base and serve large scale users, including data centers and advanced manufacturing.
"The projects would be structured so that new electricity demand is met with new generating resources, intended to avoid upward pressure on electricity bills for Americans," the company said.
The projects selected are drawn from its existing inventory of hub development assets. The company's hub strategy is built on the value of scale.
NextEra Energy currently has close to 30 hubs in its inventory at various stages of development and is working toward a target of approximately 40. "The company believes that its hub strategy can reduce development timelines and execution risk -- helping customers keep costs low while meeting growing power demand."
NextEra Energy will continue to advance development activities, including working toward definitive documentation with various constituents and engaging with potential customers, while coordinating closely with federal, state and local stakeholders.
