NRG Energy, GE Vernova and Kiewit Accelerating New Generation Capacity to Support Demand Growth
NRG Energy (NYSE:NRG) has partnered with GE Vernova (NYSE: GEV) and Kiewit's subsidiary TIC in a strategic venture to accelerate new electricity generation capacity, addressing growing demand from computing power and generative AI.
The collaboration will initially focus on advancing four projects totaling over 5 gigawatts (GW) of new natural gas combined cycle power plants for the ERCOT & PJM markets. The first 1.2GW project, featuring two 7HA gas turbines from GE Vernova, is scheduled to begin commercial operation in 2029, with subsequent projects planned through 2032.
The venture combines NRG's power generation expertise (13GW capacity), GE Vernova's equipment manufacturing capabilities, and Kiewit's EPC experience. The model is scalable with potential to expand to 10-15GW across the U.S.
NRG Energy (NYSE:NRG) ha stretto una partnership con GE Vernova (NYSE: GEV) e la sussidiaria di Kiewit, TIC, in un'iniziativa strategica per accelerare la capacità di generazione di elettricità, rispondendo alla crescente domanda di potenza di calcolo e intelligenza artificiale generativa.
La collaborazione si concentrerà inizialmente su quattro progetti che complessivamente superano i 5 gigawatt (GW) di nuovi impianti a ciclo combinato a gas naturale per i mercati ERCOT e PJM. Il primo progetto da 1,2GW, che prevede due turbine a gas 7HA di GE Vernova, è programmato per iniziare le operazioni commerciali nel 2029, con progetti successivi pianificati fino al 2032.
L'iniziativa unisce l'esperienza di generazione di energia di NRG (capacità di 13GW), le capacità di produzione di attrezzature di GE Vernova e l'esperienza EPC di Kiewit. Il modello è scalabile con potenziale di espansione fino a 10-15GW in tutto il territorio degli Stati Uniti.
NRG Energy (NYSE:NRG) se ha asociado con GE Vernova (NYSE: GEV) y la subsidiaria TIC de Kiewit en una empresa estratégica para acelerar la nueva capacidad de generación de electricidad, respondiendo a la creciente demanda de potencia computacional e inteligencia artificial generativa.
La colaboración se centrará inicialmente en avanzar en cuatro proyectos que totalizan más de 5 gigavatios (GW) de nuevas plantas de energía de ciclo combinado de gas natural para los mercados ERCOT y PJM. El primer proyecto de 1,2GW, que contará con dos turbinas de gas 7HA de GE Vernova, está programado para comenzar operaciones comerciales en 2029, con proyectos posteriores planificados hasta 2032.
La empresa combina la experiencia de generación de energía de NRG (capacidad de 13GW), las capacidades de fabricación de equipos de GE Vernova y la experiencia EPC de Kiewit. El modelo es escalable con potencial de expansión a 10-15GW en todo Estados Unidos.
NRG 에너지 (NYSE:NRG)는 GE 베르노바 (NYSE: GEV) 및 Kiewit의 자회사 TIC와 협력하여 컴퓨팅 파워와 생성적 AI에 대한 증가하는 수요를 해결하기 위해 새로운 전력 생성 용량을 가속화하는 전략적 벤처를 설계했습니다.
협력은 초기적으로 ERCOT 및 PJM 시장을 위한 5기가와트(GW) 이상의 새로운 천연가스 복합 사이클 발전소에 대한 네 가지 프로젝트를 발전시키는 데 중점을 둡니다. 첫 번째 1.2GW 프로젝트는 GE 베르노바의 두 개의 7HA 가스터빈을 특징으로 하며, 2029년에 상업 운영을 시작할 예정이며, 이후 프로젝트는 2032년까지 계획되어 있습니다.
이 벤처는 NRG의 전력 생성 전문성(13GW 용량), GE 베르노바의 장비 제조 능력, Kiewit의 EPC 경험을 결합합니다. 이 모델은 규모 확장이 가능하여 미국 전역에서 10-15GW로 확장할 수 있는 잠재력을 가지고 있습니다.
NRG Energy (NYSE:NRG) s'est associé à GE Vernova (NYSE: GEV) et à la filiale TIC de Kiewit dans une entreprise stratégique pour accélérer la nouvelle capacité de production d'électricité, répondant à la demande croissante de puissance de calcul et d'intelligence artificielle générative.
La collaboration se concentrera d'abord sur l'avancement de quatre projets totalisant plus de 5 gigawatts (GW) de nouvelles centrales à cycle combiné au gaz naturel pour les marchés ERCOT et PJM. Le premier projet de 1,2GW, comprenant deux turbines à gaz 7HA de GE Vernova, devrait commencer ses opérations commerciales en 2029, avec des projets ultérieurs prévus jusqu'en 2032.
Cette initiative combine l'expertise d'NRG en matière de production d'énergie (capacité de 13GW), les capacités de fabrication d'équipements de GE Vernova et l'expérience EPC de Kiewit. Le modèle est évolutif avec un potentiel d'expansion de 10 à 15GW à travers les États-Unis.
NRG Energy (NYSE:NRG) hat sich mit GE Vernova (NYSE: GEV) und der Tochtergesellschaft TIC von Kiewit in einem strategischen Unternehmen zusammengeschlossen, um die neue Stromerzeugungskapazität zu beschleunigen und der wachsenden Nachfrage nach Rechenleistung und generativer KI gerecht zu werden.
Die Zusammenarbeit wird sich zunächst auf die Entwicklung von vier Projekten mit insgesamt über 5 Gigawatt (GW) neuer Gas-Kombikraftwerke für die Märkte ERCOT und PJM konzentrieren. Das erste Projekt mit 1,2GW, das zwei 7HA-Gasturbinen von GE Vernova umfasst, soll 2029 den kommerziellen Betrieb aufnehmen, während die nachfolgenden Projekte bis 2032 geplant sind.
Das Unternehmen vereint die Expertise von NRG in der Stromerzeugung (Kapazität von 13GW), die Fertigungskapazitäten von GE Vernova und die EPC-Erfahrung von Kiewit. Das Modell ist skalierbar mit Potenzial zur Erweiterung auf 10-15GW in den USA.
- Strategic partnership formed to accelerate power generation capacity
- Secured 1.2GW initial project with confirmed turbine supply
- Pipeline potential of 10-15GW across U.S.
- Addressing growing AI and data center market demand
- Long implementation timeline - first plant operational in 2029
- Heavy reliance on natural gas amid energy transition
- Significant capital investment required for 5GW+ development
Insights
NRG Energy's strategic partnership with GE Vernova and Kiewit represents a significant long-term growth catalyst addressing the explosive power demand from AI data centers. This venture aims to develop over 5GW of natural gas combined cycle power plants in ERCOT and PJM markets initially, with potential expansion to 10-15GW across the U.S.
The timing is particularly strategic as data center electricity consumption is projected to more than double by 2030, with AI workloads requiring 5-10x more power than traditional computing. By securing early mover advantage in this space, NRG positions itself to capture premium long-term power purchase agreements with technology companies desperate for reliable power.
From an investment perspective, this initiative offers three key benefits:
- Diversification of NRG's revenue streams with stable, high-margin contracts from technology customers
- Utilization of existing expertise while expanding total generation capacity by potentially more than 100% from current 13GW
- Creation of a scalable business model that can be replicated across multiple markets
However, investors should weigh several important considerations:
- The extended timeline (first 1.2GW operational in 2029) means minimal near-term financial impact
- Significant capital expenditure requirements that aren't yet disclosed
- Regulatory risks as natural gas faces increasing scrutiny in a decarbonizing economy
This venture represents a calculated bet that dispatchable natural gas generation will remain essential even as renewables expand, particularly for the reliability requirements of AI infrastructure. The partnership structure leverages complementary strengths: NRG's generation expertise, GE Vernova's advanced turbine technology, and Kiewit's construction capabilities – potentially streamlining execution and mitigating development risks.
The NRG-GE Vernova-Kiewit partnership represents a critical infrastructure response to what may be the most significant electrical load growth event since the mid-20th century. The exponential power demands of generative AI are reshaping the energy landscape – a single large language model training run can consume as much electricity as 100+ U.S. households use in a year, and AI inference workloads require 5-10x more power than traditional computing.
This venture strategically addresses three critical technical challenges in powering the AI revolution:
- Reliability requirements: AI data centers demand 99.9999% uptime (less than 30 seconds of downtime annually), necessitating dispatchable generation rather than intermittent renewables alone
- Power density: Modern AI data centers can exceed 100MW per facility with power densities approaching 50kW per rack, creating concentrated load centers that strain existing grid infrastructure
- Development timeline acceleration: Traditional power plant development cycles of 7-10 years are being compressed to meet urgent capacity needs
The choice of natural gas combined cycle technology reflects a pragmatic balance between immediate reliability needs and environmental considerations. These plants offer quick-start capabilities, high efficiency (60%+ thermal efficiency with GE's 7HA turbines), and approximately 50% lower carbon emissions than coal alternatives.
From a technology perspective, this partnership creates a standardized, replicable model that could reduce the typical concept-to-electron timeline by 20-30%. The targeted ERCOT and PJM markets are strategic choices, as they host major data center corridors with existing transmission constraints that have already forced companies like Microsoft and Google to delay AI infrastructure deployments.
While the 2029 operational timeline for the first plant reflects regulatory and construction realities, this initiative positions these companies at the forefront of what Morgan Stanley estimates could be a $15-20 billion annual market for new power capacity dedicated to AI infrastructure through 2030.
This best-in-class,
“The growing demand for electricity in part due to GenAI and the buildup of data centers means we need to form new, innovative partnerships to quickly increase America’s dispatchable generation,” said Robert J. Gaudette, Executive Vice President, President of NRG Business and Wholesale Operations. “Working together, these three industry leaders are committed to executing with speed and excellence to meet our customers’ generation needs.”
Initially, the venture will work to advance four projects totaling over 5 gigawatts (GW) of efficient, new natural gas combined cycle power plants for the ERCOT & PJM markets. The first 1.2GW is expected to commence commercial operation in 2029 with two (2) 7HA gas turbines secured under a slot reservation agreement with GE Vernova. Subsequent projects will be targeted to come online through 2032. The model is replicable and scalable, with the potential to fill a future pipeline of 10-15GW and expand to other areas across the
“GE Vernova is honored and excited that NRG has selected to own and operate our industry-leading 7HA gas turbine technology as they continue to increase their ability to serve their customers,” said Dave Ross, President & CEO, GE Vernova’s Gas Power business in the
Harnessing the power of three industry leaders, this collaboration’s strength resides on all three sides:
- NRG is one of America’s leading power generators and energy retailers with over 160 TWh and 1.9 Tcf delivered, and 13GW of generation capacity in its fleet.
- GE Vernova is a purpose-built, global energy company that includes Power, Wind, and Electrification segments. Building on over 130 years of experience tackling the world’s challenges, GE Vernova is uniquely positioned to help lead the energy transition by continuing to electrify the world while simultaneously working to decarbonize it.
- Kiewit including its subsidiary, TIC, is one of America’s leading engineering, construction and procurement (EPC) companies, and one with the most experience in building projects equipped with GE Vernova equipment.
“We’re excited to be part of this partnership to deliver power generation projects to support the growth and demand of technology development in the U.S.,” said Dave Flickinger, Executive Vice President, Kiewit Corporation. “Our long, successful track record as an EPC contractor in the power market will help us meet the speed, safety, quality and delivery demands of this venture – and serve as a strong partner to NRG and GE Vernova.”
About NRG
NRG Energy Inc. is a leading energy and home services company powered by people and our passion for a smarter, cleaner, and more connected future. A Fortune 500 company operating in
About GE Vernova
GE Vernova Inc. (NYSE: GEV) is a purpose-built global energy company that includes Power, Wind, and Electrification segments and is supported by its accelerator businesses. Building on over 130 years of experience tackling the world’s challenges, GE Vernova is uniquely positioned to help lead the energy transition by continuing to electrify the world while simultaneously working to decarbonize it. GE Vernova helps customers power economies and deliver electricity that is vital to health, safety, security, and improved quality of life. GE Vernova is headquartered in
About Kiewit
Kiewit is one of North America’s largest and most respected construction and engineering organizations. With its roots dating back to 1884, the employee-owned company operates through a network of offices and projects in
About TIC
TIC–The Industrial Company is a wholly-owned subsidiary of Kiewit Corporation and provides direct-hire construction services for projects in the power; oil, gas and chemical; industrial; mining and marine markets.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are subject to certain risks, uncertainties and assumptions and typically can be identified by the use of words such as “may,” “should,” “could,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “expect,” “intend,” “seek,” “plan,” “think,” “anticipate,” “estimate,” “predict,” “target,” “potential” or “continue” or the negative of these terms or other comparable terminology. Although NRG believes that the expectations are reasonable, it can give no assurance that these expectations will prove to be correct, and actual results may vary materially.
NRG undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Factors that could cause actual results to differ materially from those contemplated herein include, among others, general economic conditions; hazards customary in the power industry; the inability to execute NRG’s strategies, initiatives, or partnerships; the failure of NRG’s expectations regarding load growth to materialize; legislative and regulatory changes; and the other risks and uncertainties detailed in NRG’s most recent Forms 10-K, 10-Q and 8-K filed with or furnished to the SEC at www.sec.gov.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250225753165/en/
Media:
NRG: Erik Linden 609.524.4519 erik.linden@nrg.com
GE Vernova: Laura Aresi Laura.Aresi@gevernova.com
Investors:
NRG: Brendan Mulhern 609.524.4767 investor.relations@nrg.com
GE Vernova: Michael Lapides m.lapides@ge.com
Source: NRG Energy Inc.
FAQ
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