Electric Utilities

Emera has raised its quarterly dividend to CA$0.74 per share, implying an annual payout of CA$2.96, a 1% increase from the previous CA$2.93 level. The move comes after a softer stretch for the share price, with a 90 day return down 7.98% and a 30 day return down 1.88%, though the 1 year total shareholder return of 6.77% and 3 year total shareholder return of 68.08% reflect longer-term momentum. The most followed valuation narrative pegs Emera's fair value at roughly CA$74.45 per share, above the recent CA$68.42 close, framing the higher dividend as an 8% undervalued case. That view rests on heavy investment in grid modernization, renewables including a $2+ billion solar expansion in Florida, and infrastructure resilience, but faces risks from refinancing needs and exposure to cyber incidents and extreme weather. On valuation, Emera trades at 21.8x earnings, above Canadian peers at 20.9x and the wider North American utilities group at 19.8x, while the fair ratio sits higher at 29x.

Emera Inc. announced that its Board of Directors approved an increase in its quarterly common share dividend to $0.74 per share, an annualized dividend of $2.96, up 1% from the previous annual dividend of $2.93 per share. President and CEO Scott Balfour said the increase marks the company's 20th consecutive year of dividend growth, underscoring the strength of its business and its commitment to stable, sustainable shareholder returns. Balfour said the continued dividend growth is supported by Emera's forecasted 7-8% rate base growth and 5-7% average adjusted earnings per share growth target through 2030. Emera, a North American energy services provider headquartered in Halifax, Nova Scotia, serves approximately 2.1 million customers in the United States, Canada and the Caribbean through its regulated electric and natural gas utilities and related businesses.

Constellation Energy Corporation announced a 20-year power purchase agreement with Amazon covering 690 megawatts of power, including approximately 190 megawatts of new nuclear capacity at the Calvert Cliffs Clean Energy Center. The agreement is expected to enable more than $3 billion in Maryland infrastructure investments, including improvements across the plant's entire 1,790-megawatt generating capacity, with the capacity expansion expected to be completed between 2030 and 2032. The deal will provide Constellation with revenue certainty to support the relicensing of Calvert Cliffs for another 20 years. In the second quarter of 2026, the company signed approximately 920 megawatts of long-term power purchase agreements with diverse, investment-grade customers, with an average duration of 18.5 years and expected full ramp-up by 2032, and also signed a 176-megawatt agreement with Walmart including 30 megawatts of expanded capacity at the Dresden Clean Energy Center. Constellation invested $2.52 billion in the first six months of 2026 and expects capital expenditures of approximately $5.7 billion in 2026 and $4.7 billion in 2027.

Portland General Electric began buying and selling energy through the California Independent System Operator's new Extended Day-Ahead Market, or EDAM, making it one of the first utilities to participate in the day-ahead market. PGE said participation could save its customers approximately $14 million annually once the market is fully built out, while also improving reliability and supporting greater use of renewable energy. The company has invested in technology and operational expertise at its Integrated Operations Center in Tualatin, Oregon, and since joining the Western Energy Imbalance Market in 2017 has generated approximately $377 million in cumulative benefits for customers. PGE's decision to join EDAM followed years of evaluating regional market options and active participation in EDAM's design, with studies commissioned by the company concluding EDAM offered greater economic benefits than alternative market options. Maria Pope, president and CEO of Portland General Electric, said early investments in advanced systems and regional collaboration have positioned the company to lead while staying focused on reliable service and affordability.

Amazon.com has signed a 20-year power purchase agreement with Constellation Energy to buy 690 megawatts of nuclear power from Maryland's Calvert Cliffs plant, a 1,790-megawatt facility that is the state's only nuclear power plant. The deal is expected to support more than $3 billion in infrastructure investment in Maryland, including about 190 megawatts of new emissions-free generating capacity due online between 2030 and 2032. Amazon's long-term commitment is also expected to support Constellation's effort to renew Calvert Cliffs' operating license for another 20 years; the plant currently supplies about 80% of Maryland's clean electricity, and its two reactors can power more than 1.3 million homes. The two companies also entered a separate retail electricity supply agreement covering Amazon's operations across the 13-state PJM power market. Constellation CEO Joseph Dominguez said the agreement demonstrates how private investment can strengthen critical energy infrastructure, as surging AI demand pushes technology companies toward nuclear power; last week Southern Company's Georgia Power and Alphabet's Google announced an agreement to support nuclear uprates at the Vogtle and Hatch plants, and Alibaba, Meta Platforms and Microsoft have also struck nuclear power agreements.

The United States Department of Commerce and the Government of the Republic of Korea have selected Related Companies and NextEra Energy Resources, in partnership with Lewis Energy Group, to develop Project Star, a $22.3 billion energy infrastructure campus in Encinal, Texas. The project will create 6.47 GW of natural gas generation to directly support an adjacent 5 GW digital infrastructure campus that Related Digital is developing, and will deliver excess power generation back to the grid. The investment is expected to create an estimated 8,400 jobs during peak construction and approximately 170 permanent jobs once operational, with the adjacent data center campus also creating hundreds of permanent jobs. The energy campus will be owned jointly by the Republic of Korea and the United States under the structure of the joint trade agreement, and will be built and operated by the Related and NextEra Energy Resources joint venture team, with Lewis Energy providing associated infrastructure including gas. The project is expected to be developed in phases, with initial generating resources anticipated to come online as early as 2029, subject to required permitting and approvals.

Constellation Energy Corp announced a 20-year nuclear power agreement with Amazon.com Inc, sending its shares up as much as 5% in after-hours trading Wednesday. The deal will support the expansion of the Calvert Cliffs Clean Energy Center in Maryland, the state's only nuclear plant, enabling more than $3 billion in infrastructure investment, including improvements across the 1,790-megawatt facility and approximately 190 megawatts of new emissions-free generating capacity expected to come online between 2030 and 2032. Under the 20-year agreement, Amazon will receive 690 megawatts of power, including the 190 megawatt capacity expansion, and the companies also entered into a retail supply agreement to support Amazon operations in the 13-state PJM market. Constellation said Amazon's long-term commitment will provide revenue certainty to relicense the plant for another 20 years and support development of new clean energy power plants at the site, while helping Amazon manage energy costs for facilities throughout the region. Joe Dominguez, chairman, president and chief executive officer of Constellation, said the agreement demonstrates how private investment can strengthen critical energy infrastructure and supports the long-term operation of Calvert Cliffs for generations to come.

Constellation and Amazon announced a 20-year power purchase agreement that will add approximately 190 megawatts of new, emissions-free generating capacity at the Calvert Cliffs Clean Energy Center in Lusby, Maryland, coming online between 2030 and 2032. The deal covers 690 megawatts of power in total, including the 190-megawatt uprate, and is paired with a related retail supply agreement supporting Amazon operations in the 13-state PJM market. The agreement will enable more than $3 billion in Maryland infrastructure investment, including improvements across the entire 1,790-megawatt plant, and gives Constellation the revenue certainty to relicense the plant for another 20 years and pursue new clean energy power plants at the site. Calvert Cliffs is Maryland's only nuclear plant and largest source of clean energy, producing roughly 80% of the state's clean energy, employing more than 800 people, and contributing about $21 million annually in taxes. Constellation chairman, president and chief executive officer Joe Dominguez said the agreement shows how private investment can strengthen critical energy infrastructure, while Amazon vice president of AWS Global Operations and Data Center Delivery Kerry Person said the long-term deal sustains the plant's operation and expansion and supports hundreds of jobs.

FirstEnergy Corp. plans to invest $6 billion in 2026 and $36 billion through 2030 under its Energize365 program, including more than $19 billion in transmission investments, while targeting a 10% compound annual growth rate in its rate base. The utility serves more than 6 million customers across six states, with transmission subsidiaries operating more than 24,000 miles of transmission lines and regulated distribution companies managing more than 269,000 miles of distribution lines. FirstEnergy's contracted and pipeline data-center demand reached 24.8 gigawatts in the second quarter of 2026, nearly 30% higher than in the first quarter of 2026, while contracted demand increased 50% to 6.4 GW. In the second quarter of 2026, the transmission rate base rose 22% in Integrated and 11% in Stand-Alone Transmission, lifting Core Earnings by 4 cents per share for the latter, and the company expects Core Earnings to grow near the upper end of its 6-8% annual target through 2030. For comparison, Eversource Energy plans to invest $26.5 billion through 2030, including about $7.24 billion in transmission and $11.24 billion in electric distribution, while PPL Corporation plans $23 billion of capital investment through 2029, including $8.0 billion for transmission and $7.2 billion for distribution.

Endesa, S.A. will reduce its share capital by €21,607,568.40 through the cancellation of 18,006,307 treasury shares with a nominal value of €1.20 each. The board of directors agreed to execute the reduction in compliance with the resolution approved under item six of the agenda at the company's Ordinary General Shareholders' Meeting held on 28 April 2026. The cancelled shares were acquired under the Third and Fourth Tranche of Endesa's Share Buyback Framework Programme. Following the cancellation, Endesa's share capital will be set at €1,228,485,892.80, represented by 1,023,738,244 shares with a nominal value of €1.20 each, all belonging to the same class and series. The company will execute the corresponding public deed of capital reduction and amendment of its Articles of Association for registration in the Commercial Registry of Madrid, and will then request the delisting of the cancelled shares from the Madrid, Barcelona, Bilbao, and Valencia Stock Exchanges through the Stock Exchange Interconnection System, as well as their deregistration in the accounting records of IBERCLEAR.

Eversource and Dartmouth Engineering have been selected by the U.S. Department of Energy's Office of Electricity under its Speed to Power (SPARK) program for an initiative to expand grid capacity and lower customer costs. The collaboration, called the Dynamic Rating Enhancement Advancements and Modernization (DREAM) initiative, will deploy dynamic line rating technology across approximately 4,000 miles of Eversource's transmission network in Connecticut, Massachusetts and New Hampshire, using thermal field sensing, advanced weather forecasting and digital analytical models to give operators real-time visibility into system conditions. Eversource said the project could unlock additional transfer capability that may mitigate or delay the need to build certain new transmission facilities, at significantly less cost than equivalent new infrastructure. Pending successful negotiations and execution of a final award agreement, the award could represent approximately $47.7 million in funding, with the initiative expected to begin in 2027. Eversource's DREAM initiative was one of 31 projects selected across 26 states.

Deutsche Bank upgraded Spanish utility Iberdrola to "buy" from "hold" on Tuesday, citing potential upside from a strategic plan update due in March 2027 and stronger earnings expectations. The broker raised its price target to €22 from €18.50, mainly reflecting higher earnings forecasts driven by stronger power prices and a better near-term growth outlook. Deutsche Bank lifted its 2027 earnings-per-share forecast to €1.14 from €1.09 and its 2028 forecast to €1.27 from €1.17, while leaving its 2026 estimate unchanged at €1.01. The bank expects Iberdrola to extend its current 2025-28 plan through 2030 and potentially raise its annual adjusted net income growth target to 10% from 8%, which would put adjusted net income at around €10 billion by 2030, about 10% above Bloomberg consensus. Deutsche Bank also expects Iberdrola to raise its 2026 guidance at its third-quarter results, forecasting adjusted net income growth of 12% for the year versus current guidance of at least 8%.

Three Gorges Water Conservancy announced after market close on September 29 that its wholly owned subsidiary Chongqing Wujiang Industrial Group plans to publicly list for transfer its 100% equity stake in Guizhou Wuling Manganese Co., Ltd., with a reserve price of 664.6 million yuan. At the same time, Wujiang Industrial's wholly owned subsidiary Chongqing Wujiang Electric Power Co., Ltd. plans to simultaneously publicly list for transfer assets related to the Youcai Gully manganese slag storage facility, with a reserve price of approximately 185.4 million yuan, excluding value-added tax. The two targets are mutually preconditions for the transaction and will be transferred as a package. Wuling Manganese was established in 2011, and its first-phase electrolytic manganese production line with an annual capacity of 80,000 tonnes officially began production in 2016. In the first half of 2026, it achieved operating revenue of 443.4733 million yuan and net profit of 27.5629 million yuan. As of June 30, 2026, its net assets were 374.4428 million yuan, while the appraisal value in this transaction was 664.6 million yuan, representing a premium rate of 80.08%. Three Gorges Water Conservancy stated that this transaction is an important measure for the company to focus on its core main business and optimize its industrial layout. The counterparty has not yet been determined, so it does not constitute a related-party transaction for the time being, nor does it constitute a major asset restructuring. The transaction has been reviewed and approved at the ninth meeting of the company's eleventh board of directors and still needs to be submitted to the company's shareholders' meeting for consideration.

PPL Corporation is targeting 6-8% annual earnings growth through 2029, with growth expected to trend toward the upper end, as it leans on operating efficiency to control costs while expanding its infrastructure investment program. In the second quarter of 2026, other operations and maintenance expenses fell 6.84%, reflecting lower underlying costs across its regulated utility operations, and Rhode Island Energy also benefited from lower operating expenses during the quarter. On Sept. 24, 2026, PPL Electric secured up to $71.5 million in U.S. Department of Energy funding to modernize 29.3 miles of transmission infrastructure using advanced technologies to increase capacity and improve reliability. The company's $23 billion capital investment plan through 2029 focuses on modernizing infrastructure and deploying advanced technology, which is expected to improve operational efficiency and reduce maintenance requirements. The Zacks Consensus Estimate points to 2026 and 2027 EPS rising 7.73% and 8.35% year over year, respectively, while PPL's debt-to-capital stands at 57.46% versus the electric power industry's 62.33%.

After market close on September 28, Shenzhen Nanshan Power A announced that Chairman Kong Guoliang had resigned due to work adjustments. The company elected Gao Xi as the new chairman on the same day, appointed Chen Huadong as general manager, and also elected Chen Huadong and Li Dan as non-independent directors. Kong Guoliang's original term was set to run until June 19, 2027. After resigning, he will no longer hold any position at the company and does not directly or indirectly hold company shares. Gao Xi was born in 1983 and has served as a company director since May 2026. Chen Huadong was born in 1977 and currently serves as a director of Shenzhen High-tech Investment Group. The election of the non-independent directors still needs to be submitted to the company's fourth extraordinary shareholders' meeting of 2026 for review. In the first half of the year, the company achieved operating revenue of 202 million yuan, up 21.29 percent year on year, and net profit attributable to the parent company of 19.83 million yuan, compared with a loss of 21.74 million yuan in the same period last year, turning losses into profits. This was mainly due to the performance release of the integrated energy services business segment, whose revenue reached 68.68 million yuan, up 153.46 percent year on year, with its share of total revenue rising to 34.03 percent.

Chugoku Electric Power has decided to raise ¥149b through a transition loan to fund carbon neutrality projects at its Shimane nuclear and Akatsuka hydroelectric facilities. The funding commitment comes as the utility's shares have returned 0.82% over one day, 6.46% over 30 days, and 18.79% over 90 days, with a one year total shareholder return of 23.46%. Chugoku Electric Power trades at a P/E of 9.9x, above its immediate peer average of 7.3x but below the Asian Electric Utilities industry average of 14.3x and the estimated fair P/E of 12.4x. On Simply Wall St's discounted cash flow model, the stock at ¥1,050.5 screens as expensive versus an estimated future cash flow value of ¥856.76. The utility faces risks if nuclear restarts are delayed or if recent share price gains unwind.

Constellation Energy Corporation announced on September 10, 2026, an agreement to acquire 100% of RISEC Holdings, LLC, owner of the Rhode Island State Energy Center, from Shell Energy North America, a subsidiary of Shell plc, for $715 million. The 609-megawatt natural gas-fired combined-cycle facility sells power into the ISO New England wholesale market, and net of expected first-year tax benefits the effective purchase price is approximately $580 million. Constellation said the acquisition should be immediately accretive to operating earnings while meeting its 10% unlevered return threshold and preserving its $5 billion share buyback program. For Shell, the disposal is part of portfolio high-grading, freeing cash to support capital returns, structural buybacks, and higher-margin investments. Constellation gains dependable regional capacity alongside its nuclear fleet, though it takes on added debt and merchant gas exposure to commodity and power price swings.

PPL Electric Utilities has been selected to receive up to $71.5 million in federal funding from the U.S. Department of Energy to support the Montour Grid Resilience and Advanced Reconductoring Project, a modernization of an existing 230-kilovolt transmission corridor. The funding comes through the DOE's Speed to Power through Accelerated Reconductoring and other Key Advanced Transmission Technology Upgrades (SPARK) Program. The project will rebuild approximately 29.3 miles of existing transmission line, replacing aging infrastructure with advanced technologies to strengthen reliability, enhance available capacity and support growing energy needs in the Susquehanna Valley, Greater Lehigh Valley and Northeast Pennsylvania. It will deploy advanced conductors, using a combination of Aluminum Conductor Steel Supported (ACSS) and Aluminum Conductor Composite Core (ACCC) conductors on targeted segments, along with dual optical ground wire to expand the corridor's fiber network and demonstrate Distributed Acoustic Sensing technology. PPL Electric Utilities President Christine Martin said the funding will help the company modernize critical infrastructure and minimize costs for customers, while U.S. Secretary of Energy Chris Wright said the investments will get more out of existing infrastructure and deliver affordable, reliable power. Over the coming months, PPL Electric will work with the DOE to negotiate and finalize the terms of the award.

Georgia Power and Google announced an agreement on September 21 to support uprates at the Vogtle and Hatch nuclear stations that could add roughly 96 megawatts, subject to regulatory approval. The deal links Alphabet Inc. directly with The Southern Company, as Google seeks firm power faster than new generation can typically be permitted while Southern already owns nuclear assets that may produce more. Georgia Power says Google's support could help fund work at its ownership shares of Vogtle and Hatch, with projected customer benefits of about $900 million over the lives of the units. The bear case is that 96 megawatts is modest beside gigawatt-scale data-center demand, and the agreement still depends on regulatory treatment and successful engineering. Insider Monkey's database showed 55 hedge funds with reportable Southern longs in Q2 2026, up from 54 in Q1, while Alphabet's hedge-fund count rose to 275 in Q2 from 265 in Q1.

PPL Corporation has completed its remaining planned financing for 2026 through two debt offerings, issuing $500 million of PPL Electric debt at 5.75% and $400 million of Rhode Island Energy debt at 6%, both due in 2056. The company executed $2.3 billion of its 2026 capital plan through the second quarter, nearly 30% above the comparable period of 2025, and continues to target about $23 billion of capital investments through 2029, supporting average annual rate-base growth of 10.3%. PPL estimates $10-$12 billion of potential generation-related investment upside through 2032 from economic development activity in Pennsylvania and Kentucky, and forecasts annual EPS growth in the 6-8% range through 2029. Cash generation remains an important funding source, with PPL generating $1.14 billion in operating cash flow during the first six months of 2026, up 2.24% year over year, while issuing $2.05 billion of long-term debt and retiring $668 million. Despite a recent 25 basis-point rate increase, PPL's second-quarter 2026 Times Interest Earned ratio of 2.8 indicates sufficient financial flexibility to meet its interest obligations.

Southern Company subsidiary Georgia Power has signed an agreement with Google, a subsidiary of Alphabet Inc., to support upgrades at Georgia Power's share of the Vogtle and Hatch nuclear plants that could add about 96 megawatts of electricity capacity. Rather than building new reactors, the plan calls for equipment upgrades to turbines, pumps, motors and cooling systems to increase output from existing facilities. Georgia Power said Google's subscription could enable approximately $900 million in projected benefits to customers over the life of the nuclear units, and the arrangement is designed to prevent non-participating customers from bearing upgrade costs. The deal requires approval from the Georgia Public Service Commission, which will assess the investment required, expected customer benefits and cost allocation. The agreement reflects rising electricity demand from data centers and large commercial customers, and the value of existing nuclear assets as utilities seek dependable, carbon-free generation.