Nextera Energy Inc Investor Day Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Shahriar Pourreza - Guggenheim Securities - Analyst : Good morning. It's Shar Pourreza with Wells Fargo. Just quickly, just on the Comstock and Basin electric deals, lots of opportunities around gas. As we wait kind of for those deal announcements, any sense on how we should think about pricing, especially versus the clean energy attributes of nuclear? We do have some pricing points with nuclear. Then maybe how should we think about risk mitigation, including like kind of gas hedging and execution risk with contracted deadlines, right? So some things could be out of your control like labor. So just maybe how do we think about that? John Ketchum - Nextera Energy Inc - Chairman of the Board, President, Chief Executive Officer; Chairman of Florida Power & Light Yeah. So when we look at our gas opportunities, I think we've said before, we're kind of targeting, Mike, had it in his presentation, 15% to 20% levered equity returns in that business. A lot of progress on the gas side, not only with Comstock, with Basin, with Exxon and with the CCS opportunity as well. And then all these data center hubs opportunities, right, that 15 by '35. A lot of those will get started with what I call bridge power solutions, which might be renewables. It might be storage, it might be aero derivatives. But then as we're accommodating that first phase of that build-out for the data center, we are going to go ahead and build along with them. So we're also at that same time, planning for the gas to come behind it. And that creates, as Mike said, a big upside opportunity for us going forward. And so as we think about what the future of that business looks like in terms of labor supply, the ability to contract with EPC contractors, to be able to work with GE Vernova to get access to turbines. We mentioned the 4 gig, we've already got reservation rights in place on. It comes back to scale and buying power, Shar. I mean, when you think about the EPC contractors that we would do business in that space, they're the same folks that we've been doing business with for 20 years. And we will, I think, have front of the line commitments from those folks. So I really don't worry about the labor supply. I don't worry about getting our hands on turbines. I think the returns are going to be very strong. I think the CapEx opportunity is substantial. I think it's well -- I do think, as I said in my remarks, we're being conservative on the 15 by '35. I'll be disappointed not to be at 30 by '35, just given what we've seen. We already have 20 hubs, already in motion, expecting to have another 40 hubs in our pipeline by the end of 2026. So in great position there and not concerned about labor, access to equipment, all those things, we're in great shape.