Aidan Kelly

Aiden Kelly asked for more details on the near-term annual 1-3% sales growth, specifically the breakdown between electrification, residential growth, and commercial and industrial (C&I) customers.

Answer

Steven Powell (President and CEO, Southern California Edison) explained that electrification, primarily from strong zero-emission vehicle purchases, drives about a third of the load growth. Residential new home starts and diverse commercial/industrial growth (defense, manufacturing, logistics, moderate data centers) contribute to a balanced load profile over the next five years. Pedro Pizarro (President and CEO, Edison International) added that this diverse profile provides durability.

Aiden Kelly inquired about the breakdown of Edison International's near-term annual 1%-3% sales growth, specifically detailing the contributions from electrification, residential growth, and commercial and industrial (C&I) customers.

Answer

Steven Powell (President and CEO, Southern California Edison) explained that electrification, primarily driven by strong zero-emission vehicle purchases, accounts for about one-third of the load growth. He added that residential new home starts and development are another key contributor, alongside broad commercial and industrial growth spanning defense, manufacturing, logistics, and moderate data center requests, highlighting a balanced and diverse load profile.

Aidan Kelly asked about the company's comfort with 2026 EPS guidance before the cost of capital resolution and the CRC energy storage microgrid as a blueprint for other high fire-risk communities.

Answer

Patti Poppe, CEO, affirmed that the company plans conservatively and consistently delivers on its commitments despite various circumstances, ensuring reliability for customers and investors. She expressed excitement about the CRC energy storage microgrid project, confirming plans for similar installations in other communities, and highlighted its role in minimizing outages and hardening critical services during public safety power shutoffs.

Aidan Kelly inquired about the comfort level with 2026 EPS guidance before cost of capital resolution and the potential for energy storage microgrids as a blueprint for high fire-risk communities.

Answer

EVP and CFO Carolyn Burke stated that the company plans conservatively under various scenarios to consistently deliver for customers and investors, despite market choppiness. She also expressed excitement about the CRC energy storage microgrid project, viewing it as a learning opportunity and a blueprint for similar installations in other high fire-risk communities to minimize outages and enhance safety.

Aidan Kelly of JPMorgan Chase & Co. inquired about the timeline for converting data center Letters of Intent (LOIs) to Energy Service Agreements (ESAs), potential gating items, and strategies for meeting load requirements if demand surpasses current capacity. He also asked for a geographic breakdown of the nine data center requests between Montana and South Dakota.

Answer

CEO Brian Bird stated that he expects at least one, and possibly both of the initial two, LOIs to become signed ESAs by the October earnings call. To address future demand, he explained that NorthWestern Energy is exploring build-own-transfer options for new generation with the data center partners, which could be regulated at either the state or federal level. He also clarified that the nine initial requests are split roughly evenly between Montana and South Dakota.

Aidan Kelly of JPMorgan Chase & Co. inquired about the potential timing for signing Energy Service Agreements (ESAs) for the three data centers under LOIs, how NorthWestern plans to address load requirements if demand exceeds existing capacity, and the geographic split of the nine data center requests between Montana and South Dakota.

Answer

Brian Bird, President and CEO, stated that he expects at least one, and possibly two, of the LOIs to convert to an ESA by the next earnings call in October. To meet excess demand, he explained the company is exploring build-transfer agreements for new generation with the data center developers, which could be state or FERC-regulated. He also estimated that the nine initial requests are split roughly evenly between Montana and South Dakota.

Aidan Kelly inquired about the expected timeline for converting data center Letters of Intent (LOIs) to Energy Service Agreements (ESAs), the strategy for meeting load requirements if demand surpasses existing capacity, and the geographical split of the nine initial data center requests.

Answer

CEO Brian Bird projected that at least one ESA would be signed by the next earnings call in October. He explained that to meet excess demand, NorthWestern is exploring build-transfer agreements for new generation with the data centers, which could be pursued on a state-regulated or FERC-regulated basis. He also estimated that the initial nine requests are split roughly evenly between Montana and South Dakota.