雅虎香港財經 NextEra Energy (NEE), Entergy to Build 4.5 GW Energy Projects
NextEra Energy NEE announced its unit NextEra Energy Resources LLC and Entergy Corporation (ETR) entered an agreement to develop up to 4.5 gigawatts (GW) of new solar generation and energy storage projects. This 4.5-GW agreement strengthens the existing collaboration as both companies have more than 1.7 GW of renewable energy projects in progress.
The ongoing development of renewable projects globally will create demand for storage projects. These projects assist in storing electricity from renewable projects when production is higher compared with demand. Also, it releases electricity for usage when demand rises and production from renewable projects drop due to natural reasons.
Storage to Assist in Clean Energy Transition
Energy storage is going to play a very crucial role in transition toward clean energy. The large storage projects with advanced batteries will manage the fluctuation of demand for electricity on the power grid. The utility scale storage projects can efficiently manage the impact of variations in renewable electricity output on the grid while keeping grids stable and reliable in the face of rising demand.
Per U.S. Energy Information Administration (EIA) report, to meet the rising demand for storage units in the United States, developers are planning to add 15 GW of storage units in 2024 and nearly 9 GW in 2025.
Given the rising demand for storage projects, energy storage projects are getting much bigger in size. Per EIA, the battery storage facility owned by Vistra Corp. VST and located at Moss Landing in CA is currently the largest in operation in the country, with 750 megawatts (MW). Given the improvement in technology and development of low-cost high-efficient batteries, larger storage projects are going to be developed in the United States to support the grid.
NextEra Energy’s Rising Storage
NEE has been adding storage projects to support development of renewable projects in its portfolio. The company is expected to add 2,600-4,000 MW of storage projects in 2025-2026. It is adding storage projects in backlog to support its long-term renewable energy project addition.
Price Performance
In the last six months, NextEra Energy’s shares returned 28.6% compared with the industry’s growth of 0.5%.
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Zacks Rank
NEE currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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NextEra Energy, Inc. (NEE) : Free Stock Analysis Report
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