EXC - Earnings call transcript Q3 2024

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Operator

Hello, and welcome to Exelon's Third Quarter Earnings Call. My name is Gigi, and I'll be your event specialist today. [Operator Instructions] Please note that today's webcast is being recorded. [Operator Instructions] It is now my pleasure to turn today's program over to Andrew Plenge, Vice President of Investor Relations. The floor is yours.

Andrew Plenge

Gigi. you, Thank everyone. Good morning, to third have for pleased with you earnings call. XXXX quarter our We're us Leading today Chief Executive Officer; the and and President call Jeanne are Calvin Jones, Exelon's Financial Exelon's Officer. Butler, Chief and prepared Exelon's senior answer are us available Other members they following management be our of will questions also team with today, remarks. your to

you of which information that contain like in the found Today's with earnings our be the also and presentation, presentation forward-looking to would release Relations today's can and Exelon's section associated along to materials We uncertainties. remind and are other financial release risks website. Investor earnings subject statements,

You or can on presentation in risks our these SEC cautionary find statements filings. on today's Slide X of the

and nearest measures. and and release. my appendix our In turn these measures It GAAP between equivalent of President other in now non-GAAP Calvin Butler, found addition, includes our operating today's presentation in the Reconciliations earnings Exelon's is CEO. can references the to measures be to and the call over to presentation earnings pleasure adjusted

Calvin Butler

significant our despite of for across performance, the consistent quarter operations call. and us you, reported performance quarter operating share share, appreciate for another quartile activity earnings on quarter or and expectations us of joining a with are $X.XX everyone. top of shared second and be outage per above We earnings of in call board. morning, and $X.XX and earnings stable the operational Thank performance. better you per strong July delivered storm the pleased track solid of We on to good another GAAP Andrew, year reporting keeping We

our quarter call. calendar the have since made regulatory We XXXX considerable on also progress second

ComEd The to refiled order the filed now desire received balances state's has data order that a continue has point rate plan. to ComEd proposed and plan compliant appropriately as another positive commission's final that goals. ambitious in serves First, its its clear multiyear forward look leader order in affordable to the the now progress and momentum on a regaining We while transition. await making reliable as its the we energy power energy and Illinois deliver establishing

PECO administrative case. We key which the service in customers, presiding also reached and law over in by were safe with investments electric appreciate improve key in cases, role state's judges advancing for reliable efforts. recommended the approval party's PECO's and needed this gas parties economic maintain rate critical We the development to for playing a interest and the settlements our

Columbia, to laying and by clean an to of District the support investment the continue year, a continued the groundwork anticipate climate-ready for we energy order In end grid goals. of the district's the

a century rate the multiyear Maryland stakeholders, hearing plans which September, customers, earlier are of commerce multiyear lessons our in demands in the of In record able of chambers Maryland those utilities of support on And each extensive the its grid. learned to large including we completing ways that XXst and Finally, plans, hearings, proceeding of are appreciative an address month. this filed their a provided number contractors construct. initiated of a

forward. execute a possible that alignment our customers. as that We on and meeting around Maryland our as us effectively the on can making improving all alignment the goals, of built. have of transparency we with investment cannot stakeholder find which And plans state's is to remain address continuously we'll behalf But solution and the on future in keep our we of all efficiently give also certain the rely goal is we the to energy [indiscernible] transparency us foundation on acknowledge the accountability can of on framework the ways rate ensuring optimistic past. allowing critical confidence to concerns which and moving of of

are we quartile frequency On and Slide to Pepco our outage customer me turn performance quarter. both most our key In indicators outage highlights across operating ComEd safety, and Let see for satisfaction. that for that the you continued Hurricanes mutual reliability the first the duration, and perform the Holdings that's in and achieving directly now And can storms swept of Milton afterwards. [indiscernible] X, powerful to throughout and significant with July area assistance Chicago extended at levels. quarter following Hurricane despite the top for [indiscernible] decile

of measures. in year. double those Georgia support same customers by crews, at and hurricane hit with XXX then in a storms and Illinois Virginia the challenging more a aid some season. and And area restoring to that along Chicago of PECO field BGE, experienced number The service just after sees X Holdings that West of part personnel were than were to In Florida, land utilities Pepco an record-breaking average our variety the days, tornadoes those very of it in

some and focus reliability the frequency want only I the take a business of of thank personally jurisdictions, our and continued dedication. events and utilities do of severity ability resiliency. the investments increasing to critical extreme and for of the to moment The the to happen dedication needed in can maintain weather to keep the with employees with pace our support with our best their for of

priority. utility it companies serious quartile. The highest is customers our As of quarters employees, to pertains against of all and safety, X entry in performance now after X safety we operating our have always benchmarking contractors top

with on now enhancing to since including last performance streamlining initiatives further additional improve in on processes Holdings. new remain BGE has utilities alongside customer focused quarter, customer communications, trainings. and Finally, representative improved performance, second customer Pepco service satisfaction, business Both operating quartile

our financial update. Jeanne Now it's regulatory my pleasure call to to turn and Jeanne? cover the over to

Jeanne Jones

Thank our project will with a for I of remainder and financial accelerate the to opportunity and along you, customers. grid the third will our Today, to save also XXXX. which money for morning, regulatory update an modernize is and cover time some Power, I financial outlook at highlighting everyone. Delmarva helping quarter spend our good Calvin, transmission

earnings operating quarter-over-quarter [indiscernible]. present adjusted our Starting on Slide X, we

in per third results For the over share quarter share higher $X.XX reflecting $X.XX quarter the earned per The per of XXXX. [indiscernible] XXXX, the of to period. of third compared same share $X.XX

$X.XX period year, removing net on Exelon, driven across interest rates ComEd relative timing last primarily higher depreciation, earned earnings. expense. and the at $X.XX the at After the distribution are to $X.XX Earnings by which of its we associated of in higher distribution of of transmission offset third timing same ComEd higher quarter was by

After accounting earnings our provided guidance of in driven by the prior mutual part delivered utilities, in for quarter with we provided call. to the we in timing non-Exelon line ComEd, assistance results expensive

to heightened year. Our year-to-date ability and deliver performance strong activity underscores throughout results storm the mild weather our despite financial

we out achieve to to year per close we remain fourth operating of share. $X.XX track earnings the As in on $X.XX quarter, the

Our as fair fourth outcomes reconciliations rate common for BGE and assumes Pepco distribution weather as well a quarter normal of and guidance and multiyear ComEd activity. and case the reversal storm earnings DC's timing, reasonable

guidance to In the first be X% the with through of growth or addition, we midpoint at X% operating annualized XXXX expectation better reaffirm year range earnings range. our long-term to that of

X. Slide to Turning

made As in highlighted, final cases PECO rate approaching we Calvin distribution rate jurisdictions, DCs the across progress our milestones have cases. open our meaningful ComEd, and Pepco for

in gas test distribution filed a Delaware. case historical We year rate also

year. approval September remaining a of the increase, safety, filing providing improvement work begin iron million improve filing cast customer our charge. on natural filing million replacing to and an its adjustment by on XXXX $XX.X investments since this reliability rate pipe gas system Delmarva On updates gas at followed upgrade mains, that $X.X aging including proposed distribution transfer facility. Delmarva revenue bare remarks XX, The filed reach I'll ensure the represents and resolution of LNG recent Power by exclusive service and replace my cases of work this last rate the and case most Power's seeking of reflects its to maintain inspect steel and anticipated update proactively distribution and status and in rate Wilmington equipment help gas

security offer of a predictability also multiyear support more parties brief and the pathway for final climate-ready Continuing normalization across to bill of and district The the enhances grow and which expand will technologies. resiliency customers also enable weather grid and grid plan August the temperatures plan, energy on assistance customers outlays ready on cleaner a will Pepco's filing other The Holdings the adoption Columbia. of filed reliability, Pepco programs DC energy we requests with investments volatile. rider, Pepco's seasonal increasingly and Pepco climate affordability as XX, which make local the

and Public DC neutral the look work forward to customer advancing await which by enhance we and district supporting the development end important carbon Commission's the reliability, now final to before be anticipate further economic year the Service the work needed We goals XXXX. order, to and of continuing

both the a allows settlement for Turning excluding gas Commission onetime $XXX we and XXXX. in to law the The decisions for Pennsylvania August. are accept Utility a of revenue PECO rate judges recommended in case Pennsylvania. million electric rate PECO's and increase, cases, issued requirement Public million electric credit with have recommendation in that $XX Administrative pleased proposal filed the

On in ALJ a side, million $XX revenue the increase requirement XXXX. gas proposed the

the gas the and will all PECO's filed customer revenue. a go and inherent major approved Pennsylvania have been distribution an volatility adjustment, exception utilities, the recovery normalization the reduce we bills of has intended While now to ALJ which review to against adjustment, addition adjustment, commission has for ruled other weather is of which address in consideration. for The

the end commission We to orders expect final the by issue its of December.

proposed $XXX requirement rate law increase requirements proposed administrative new order over the with December. revised the XXXX. the on recommends Commerce revised for effect the for plan the revenue associated ComEd, we in the approved grid Commission commission XXXX rates $X.X revenue a and issued October at judge Illinois which on and million in final order January adjusted Lastly, through expect case a the plan base XXXX increase presiding order a from a XX, with in The grid billion

the and provides revenue certain such to categories this approved As are excluded the business prudently threshold. from recovery requirement XXX% investment incurred a for and new XXX% as storms investments construct reminder, the allows of of up that

and We has are resulted in critical plan, strong X the forward a in in investments the all by for industry. up years setting credit and the during we order the appreciative look the path the commission craft of of to time compliant balanced proposed work put parties a next to through alignment which hard

mechanisms will anticipated to DC required XX% rates clean, place Pepco and states. for or known orders growing year-end, ComEd, of the XXXX, needs for be execution rate PECO the issued and electrification on focus to planned of final in allowing XXXX in base support strategic established by With generation and our to expansion us our through rate necessary have discussions approximately reliable

on XX As to rate the XX cases found can the of appendix. additional be details on always, Slides

X, to work to we've Nelson Earlier substation to a XX-mile take Vienna transmission the an of the to from year, in substation County, extends That to rebuild [indiscernible] Delmarva I that XXX Power kV where a the want began system. been Vienna brings example Slide County, Nelson transmission in to the me Subset work highlight line, to doing moment circuit modernize Maryland Delaware. the this

The wins system able resilience. to above project our upgrades standards. XXX XX-year-old replaces flood with also The an over includes constructed will new be per XXX structures steel to underground infrastructure hour, kV and XXX poles transmission is wooden lead-in, and equipment overall withstand miles zones over enhancing

project installed coal eliminating that on saving cost decades. the project to is River to XXX,XXX vile X across the placed that collection ahead and the which of retire, X $XXX project XXX-megawatt over the Completion nearly the years, the be collected years Currently, customers is December. million in unit will of over in in be track greater enable of X.Xx of generating will the schedule service nearly Indian than RMR

partnership jurisdiction Alongside commitment customers our also better will project lower from also $XX.X and the the we resiliency The million serve. reliability to the these diverse of experience the elimination suppliers, growth spend local constraints. and economic workforce on project with with development emphasizes supporting capacity system bills, of with

efficiently energy of efforts to to our investments, while maximize a the fostering local enhancing are power of grid, the constraints and adequacy the customer of also and dedication platform decarbonize, to highlight highlights our project execute modernizing These the our our economic goals testament impact they for our benefit mitigating on strategic the state capital growth plans while value supporting to customers. to efforts resource

continue to billion This transmission we capital customers going is highlights be transmission for area plan will it through to and why of opportunity XXXX, electric significant our of just $X.X an the our in forward. support X have investment example

Slide on will I Finally, financing on updates with conclude activity our XX.

a Moody's, We of to strong credit on balance XXX our demonstrating continue over planning approximately and for period cushion commitment maintaining our of XX% specified average to project the metrics the consolidated a S&P downgrade points sheet. above threshold corporate by basis

regulations in And guidance final implemented not our tax corporate regulations, while recall the consistent incorporates the final language allow we basis of continue a way the average expect to over assumption the September. we'd cushion that points treasury higher an incorporates increase in consolidated putting our the the of that of advocate to XXX mitigates approximately repairs, plan, over XXX period. released plan end the minimum that impact, that -- points our cash targeted with proposed at planning us basis for and for on metrics alternative the the It's will to XX

financing for investor our a along of financing $XXX The platform. lowest quarter. well the with we by we as of most our debt our the third needs all year to completed combined finance the planned we continue debt perspective, with Investor the From the PECO have to is offerings the us successfully in for strength offerings, million strong efficient to positions raising transformation customers continue supported program long-term confidence see sheet, energy our for demand balance seek and our our attributes ways out investors. of hedging preissuance our in

remaining for $XX.X of on our guidance turn to to XXXX issuances be also an to ratably and now remarks. to the XXXX $XXX million billion call current you, for I'll basis. from has Thank capital XXXX via XXXX, the a expected total plan change We've from closing our of balance our XXXX annual billion our completed Calvin been with ATM. back his fund approximating issue planned no of million successfully issued to in There $XXX to equity $X.X equity

Calvin Butler

Thank you, Jeanne.

we've excellence year. execution as on our XXXX continued final the can for long approach come you and priorities months the and team we see, toward a As focused way delivering of commitments the with on operational highly

and despite keeps activity keep amount maintained bar meeting of getting we year. The We top storm higher quartile a have performance tremendous it. this set

covering be approaching our are Maryland supportive into processes process input XXXX. reasonable outcomes We learned orders how ratemaking of both as established for path approximately approach out an agree allows towards and another known to address that invested appreciate stakeholders so by we with And all in energy base meet covered we rate ComEd far final quickly can lessons customer on the to PECO XX% as with acting that goals. XX% its approximately state's should dollar or

have cost-saving benefit of This that customers our XX% developing a earnings importantly, adopting of financings to and time return our during the in efficacy laid beginning most range in to commitment customer vigilance our in fair on equity and for the operating legislative in out year. capital affordability at very targeted earn well the X% we through allow and and both in guidance invest we maintained are the industry. measures We track the our regulatory complete. already dynamic as as and $X.X $X.XX And cost steadfast on a range, billion the in us to XXXX for of will deliver planned $X.XX to with year our

utility serving largest everyone reliable, in some to amplified to power that the growth to mission. count, The cities integral by grid And in the those and generation ability have to to provide our evolving customer intelligence. severe only is country, invest supports where this supply primary the been of to largest equitably. mission course, demands by increase is and resilient demands reliability, of electrification more As artificial It, of weather, an mix. continue increased due the affordable

the as center this of territories. gigawatts, of XX our X incredible indicative At contribute which project in of sector transmission now highlighted affordability we Jeanne That's to investing The well. is of one gigawatts has investments that opportunity But indicated can also just in is the that customers. our grid the we high-probability data year, load the beginning our had where for example many can savings ahead. at grid create

transparent, the we grid. relying forward-looking our PJM of it's to possible. our the making. do the ensure actively how arrangements importance as and of the has benefit policy avoid engaging focus underpins The rate thoughtful of continues policymakers as not also advocacy. on of our It why coordinated, can And or cost and reinforces peers be with thus, investment state and efficient co-located ensure grid load to reliable and planning It driven and and as compromise reliability on the affordable are value generation

the the All of on are investment and actions economic our we jurisdictions the grid that impact our focused in necessary of is indispensable on of enabling to that partnership rely a is clear. that and all vitality

Their XX country. named as time, award ago, September, grid resilience under to Chamber are Pepco under respectively. In and ComEd District Commerce were Utilities XXth of Exelon its weeks who recipient receiving and the Columbia's in partnership the program, of and named named of the total in utilities business $XXX Site innovation PECO of funding bringing Two the top XXth just Magazine development awards economic year. our program the that more DOE's million. X And direct that Selection

and they Again, safe, over the to transformation. for the any from affordable have and deliver counting ready during the and energy dependently audience. privilege to questions resilient million power us this serve Gigi, honor are now we customers we XX.X on are

Operator

the [Operator of Barclays. Instructions] first Campanella line question from from Nick Our comes

Nicholas Campanella

because some just gotten questions. I know wanted address to I we've upfront

case Just today? above that? you said And for we kind Is think or midpoint kind that still previously how 'XX. of the about of should

Jeanne Jones

Nick, question. good Yes.

X as would we different, that years end over where long-term part and the give that So were that When I we a -- we our be X always for you goal And in midpoint at be aim our show say guidance be of to you up language But when right, year, period, combination to the we we started our of better. range, give continues to that may midpoint is year. current or better. to right? guidance the the also time trying we as and always, goal, for or the

how still working sure I that's years, we're thinking that towards that's just what that yes, what to about hard And we're we've -- we're we so make still and working done the trend. last it and X continue

Nicholas Campanella

Great. Okay. clarification. Thanks for that

been months been discussion you've digest So PJM There arena we've legislative the a solutions of kind had in had generation. time of new I'm more since auction. it. has potentially it's kind some to for the few address to sure

your script heard the you kind comments focusing initiatives. 'XX, I So more strategic flip of as into on on

play you be does your the advocating out of how kind will kind mind? that's Just this issue fix at specifically of What bill in PJM? of for to growing kind

Calvin Butler

thank you. Nick, is Calvin. This

me let -- you And just to Let your get -- couple I'll this Nick. me of I you approach a know if sure make ways, directly question.

-- do increasing over that and the reform prices that concerns does request option reinforce a First addressing the definitely believe message are needed. PJM's off, I efficiently electricity believe is capacity we demand whether our to needs clear sends delay

that interconnection just that So the has continue And get and acknowledgment various not well done. will appreciate just first different. capacity And working. federal PJM's and agencies other market was to and reforms. that forward is that process stakeholder to to it's And the an and something support example regional to do we leadership another PJM as step put be I them as

statin, Nick, done address as recently And we with be providing and we governors mix can the this governors and do reliable, done. page think And the about Nick, and PJM this letter most issue, will And our with to this, and we think we've you affordable be takes tomorrow of solution, this things discussion. of opening that not owning manner seen ensure and going. the needs to we What of customers that place, momentum how not we but think everything across of one do to issue in about are first to it's regulatory we generation, It our be said that footprint. only all focused is of all I And be part resilient to the that as company that needs magnification not an to and been that want voice the I working energy. what that's will fit unique bodies that part we to that something it you've in today. of part So solution. on with always that work and in equitable all our And is [indiscernible] foremost. surprise with that I I my of remarks, and to be on start to you're continue seeing would

and but And and of be that. people we're whether about what happens, how talking for not foundation If of What talking figuring that's affordable about. table forth. the for we'll generation regulating are that at advocating Now the part reliable that's energy. our solution, we're we're advocating we're is so

Nicholas Campanella

that. outlook. comfortable direction guess, a time that's ones as we it still that all this some think growth outlined specifically higher that feel I I jurisdictions people -- across to potentially in going. I just otherwise? your that could it do And just guess And to I want build of trajectory, long build supplement appreciate of you've all rate base and those the certainly you at see we takes the like demand kind look I acknowledge with BGE you But the think new just this facilitate

Calvin Butler

of jurisdictions of conditions investing of it. can't the weather with talked clean all want these that you and affordable, would our cost we without transmission. smartly tornadoes. about because investments of you A a accomplish decarbonization just were get in you talking all do. know tell what without to a not our in the investing are you've Because if grid. goal making I And can't Nick, to do. of number there's goal you facing. fact, of that have reliable I jurisdictions a you matter I resilient do I And Illinois there about, seen that

that to a what that the look It's project pools all she steel under. at James you of wind systems highlighted. wind pressures because the poles of If conversion transmission take even our of

the do is into with investment it. make of smart without that we are of cost there doing to I have bodies just and So plans cost doing believe on like that leaning investment. because far the is more and because those sure What conversations, how But we And systematically why it the you proactive outweighs becomes goes not it's the can't that's get the happening the expensive back if you after or conversations the into thoughtful not, end. and ensuring upfront not whether it not fact. you regulatory I'm having multiyear work them

need direct to grid have you'd just way. question, Colette, to So your to continue. they this? will have yes, do the anything needed. to add yes, And sure are right make we're We in investments to the like work with everyone it you doing to

Colette Honorable

Thank would you, that Honorable, I to fact to unique. allude Policy Affairs of that comments the Chief you -- Nick, I'm Colette and we Calvin are and and External Calvin's Officer. Public heard good EVP add morning, him

We nation's are utility. largest the

policymakers, find pure be a legislature, and the with the customers that members company, us distribution the to and with of energy are gives partners We help with transmission of strong lot need. to that and delivery our It our us gives ability support a regulators optionality. solutions

while clean quickly. PJM, work fashioning we solutions leader instance, this and reliability, also the help more for are us transformation, being to continue resilience on fundamentals: a So focused leaning more into that and affordability, be in we on efficiently energy will do the

the looking how help more at these find to more to through transmission. can been support move get we more queue we has focused with are reform quickly a addition generation, either of us We help ways instance, the shovel-ready construct to on new generation. For projects where PJM

to be We a leader stakeholder will of number on process the also in PJM reforms. pricing continue a

a as now, the we'll applied continue effort we needs elevating the in that action attention the regard. that right of everyone in So and one governors be issue to from capacity leader

Calvin Butler

Colette. in their with there PJM sitting CEOs they're their Thank to are right think, because how I voice engaged of that's our know taking we of companies jurisdictions that that And And very and way. Nick, we're meeting engaged place the representing they're a direct on in matters, in operating question now. Today, participating you, proactive all your PJM our

Nicholas Campanella

And we'll in see here shortly. you Florida

Calvin Butler

Looking forward to it.

Operator

of comes from Jefferies Our next question line Smith the from Dumoulin LLC. Julien

Unknown Analyst

couple here. a things So real of quickly

mean today, remarks, more multiyear I starting have how you an some change structured will? the even day, the mean, would but change prepared plan, just it's if discrete with you I mean, in plan here. gave off, it First just didn't that if at in know falls Maryland does the I additional end commentaries you aggregate, to spending anything that ultimately plans, I as your right? back but of

Calvin Butler

Yes.

in first, then Let it turn me Jeanne. jump and to I'll over there [indiscernible]

Let plan clear. me just in be The multiyear think, was only I XXXX. implemented, very

been it beyond well the we was rate we've well rate making BGE, being getting before Maryland And traditional in operating were organization with filing effective So I and in we then. annual done. doing of CEO were when was cases

because goals what do build go and transparency and the that happen What we piece and because the we allows shared, in to have to way effectively keep are met. in manner with working a we continue the to and I share everyone's that affordability collaborative things things process is MYP line best and is the stakeholder the ensures

require. to but if advocate know forward what that's making, direct how we your question, it, move to they rate on traditional will to continue So we for

It thing that for best jurisdictions capital is state because be that ever But say to will prepared forward. comes we're moving would to do. something reallocate have we not the we it we when And to continue other would to that is it do. our something

systems. to issues. those you Jeanne? the And demonstrated not that we we going of to reassess our where across to in at other do how and happened look it us When know We've go we're capital a require system. capital we'll parts reallocated what to continue Illinois beat, that. at we to in invest So will XX how we've but days, look miss

Jeanne Jones

Yes.

it's layering conclusion right. [indiscernible] When also of up investments to you the having where size the plan, X-year benefit proceedings getting whether we a billion quarter, of need to We I over order. get invest. Bless I capital So the in those to reflect to DC we of a ComEd's kind last mean then new here right? print think That's look Maryland all the think saw I at if We're our then these that's the $X coming fourth learned. and but update, period. you went related know scale, we X-year orders, our

need I work that do. of think There's a of transmission. transmission was XX% to we lot

So portfolio We'll they meet and manage are. we'll that. our where all of the manage jurisdictions we'll

Unknown Analyst

a there's Appreciate at suggest to remarks backdrop? some We've referenced the I it. got can look And right? program weave far can fits this could want little Do one more a of last sense that those We've X? to leading would materially X expensive Pennsylvania absolutely. like a each updated have it, also. indicators at as a number. PGM much But how at of that MISO plan against what speak number bit higher, Calvin, really you in well. you into you little mean, as thus you seen again, that clearly, as speak transmission X Yes, number related. I the on your and currently least seems stated go pushing the X it also that of conceivably bit just

Jeanne Jones

Yes.

more trend a see to think continue, at high I for going need that level, investment. the transmission right, increasing you're

modernized we talked reliability, several least more. against work Calvin in for to I reiterated, X probably even across Delmarva be talked increasingly we need that think project is core just system themes jurisdictions But the do the and weather. just about, the We there's our at to there, needs volatile right, that there resiliency. about

of whether can elevating for Security flooding, substations Category X important So that. steel sure for hurricane is withstand making to substations. poles, increasingly they becoming wood winds, all it's

key a have operating say continuing increase. the that's theme changing do. or companies, we second is that's X So work mix. just I across And generation would our know to to we

today. replace that the to Brand You've retirements. We got transmission save River was insurers customers' Indian RMR money. talked another That about is and our one.

And When in so types we're add retiring needs and you then transmission Mid-Atlantic, the We generation, Jersey, you've We're right, excited in need new going that goals and right? wind, at But looking transmission to generation. to got build need that. about all maybe have build of states got wind. to new support you've that you which you're but New not at XX Maryland, we all offshore generation will the up accommodate that, look to more Delaware, generation, gigawatts of investment there, we generation. the know we offshore the

of growth. that's are in data load. that theme and ComEd, right? So $X new we plan mentioned, that generation the where another When we was was right, the XX% that course, of increasingly ComEd is theme, seeing the updated I of mix capital key $XXX then, changing billion, million center And transmission, it

work centers. for only just to from data Virginia billion about gigawatts year probability the to You of Northern high-density heard talk year, [indiscernible] in the The Calvin we window Last need about do going across accommodate ComEd, $X to XX continues. load high X alone. we X gigawatts PJM, to talked Not that related this but right?

So trend. think increasingly I a that becomes

MISO for with not There opportunity are in more What's work solutions year. potential of mentioned PJM outside PJM's window of probably But million there, the another in plan. our is is its cross to X this opportunity indicated pieces couple That us has of doing think plan, in that PJM, you We our and there's X. territory, then the hundred that's the operators. MISO not willingness tranche in size.

So which I customer when strong themes, about to a money of for shortage our investments of of what think opportunities, we is you those no often build more continue just the momentum lot help save investments. that about And think alternatives. love kind them

Operator

Pourreza comes question the from of next Our from Partners. Guggenheim line Shar

Shahriar Pourreza

sort series as see guys bit seeking the filings what Procedurally, the you little territories you XXX forward. the kind are Can of what more your of service tariff those So a pathway talk clarify treatment August a drove and within to what to Calvin, pathways? network late you specifically of in load. of made filings just

Calvin Butler

Absolutely.

very So implies the there's in the recent ourselves is co-located initiated really let amendment the that the activity concise, with share low, will part you be to which the service me of protest first So the associated deceleration its on Talen bear of try it no grid. cost was why was been ISA, of was that first and load be network not most just right? and which frame know, of when the it to off, regulatory as and the time anyway, because what, and lot jumped a in conversation AEP

really in initiated the Now and we with FERC a happy conference stepped that are technical commissioner.

begin So on X. know, November as Shar, which you will

need be though therefore, have we clarity. needed big even do we a say And was And we step and saw that by not we so not believe should it contracts. because get we territory, voice, one-off that's determined to policy questions service to our in things our and some beginning

utilities of the are the from that asked so customers. And goal have were our other we early to the by for do that going needed to support XXX with of the potential contrary having grid. our that being December shifting of of road the the guidance And clear. filed FERC cost, because we the each rules the cannot We and cost to reliability we were forward things

are please. that rather So "Hey, purpose how so why of than the what Colette, question know And and that's clarity, the we was them. we proceed. give answer XXX those later, were we saying, sooner And us doing did in to them,

Colette Honorable

And about the Shar, the still to and and as docket set Talen It's XXX, question said, development. the the uncertain. now ISA and technical a that. But upcoming FERC timing has applied certainly your of process the intervention conference, we is Calvin that welcome the following

X as utilities. as selection number So in mentioned, and a we and conference, large be customers in the of to our still we the we of a clear, particular, PICO know Calvin happen clarity don't what as result at technical need of comment engage with will site load

lot We a are of seeing activity.

confidence. and And we aid moving need ahead with than will that so clarity rather later us sooner

the parties the of of that rules so And all road. know the

having those early file of of we goal each from guidance XXX utilities -- in with So our each December. for FERC the

Calvin Butler

Colette. know And thank -- as you you,

As you in time Shar, technical have FERC which act. a line not did know, the in must conference, they

So move the really look, to can this that we some the let's -- so ruling December early catalyst asking get forward. was for all say, clarity, December by

Shahriar Pourreza

Got little bit. press it it. a you Yes,

The the taking any bit, is which off. guess, Got CMC work the kind Illinois lead roll here? of a ITA just Okay. regarding in good. then the And it. curves But have I come is off

Calvin Butler

because it this. -- she's with former to intimately So as CFO Jeanne? and I'll involved Jeanne, of ComEd, turn the over

Jeanne Jones

would way reliable get can our same about sooner all I better. the generation at just of the securing prices, think I it we jurisdictions, around right? bucket in to affordable The solutions

to issues so think thing capacity all is There's while to good the solutions up states that And a thing, starting auction that, of our because that affordability recognition Illinois right, I we been the the from with what's are the are across address earlier right? conversations of come need a bad that.

the affordable So 'XX, those we starting safe, now and through you but in that to those sure have mentioned, have state as reliable make of Illinois. generation conversations are customers

Shahriar Pourreza

the consensus Calvin. Got adequacy it. adequacy then real lot mean are resource all one solve that side, to on on resource But is a companies wireless quick the I it. highlighting issues. a kind don't there's Got just alignment there's And just how I if of of know this it.

-- just I generation. jet your regulated a about talked Your mean peers ago, one minute peer

months, it advocating been other about Pennsylvania for Your peers talking not you're generation. for but They've about regulated talking it.

companies? you of are I appear there the a other aligned tight lot pathways? with . Or timing guess to guess kind doesn't solved. So is something is different of It alignment. wireless there's I get

Calvin Butler

you, around question, Shar. tell is alignment I there No. affordability. Great would and and And resiliency reliability

companies state going to regulators come we're the of be talk legislatures conversation and that reliability our hottest if to be on enough is cold to concerned about because overall adequacy, in system we reliable going the is weren't buyer all of power view, the have we're the terms resource provide on. is what focused that ones on, because of subset and and the when you this what's the the my in generation what So grid that that steel a on we of a the having we and wouldn't breakdown our about say,

So to question. happy we're answer that

when demands solutions, that's I believe only stated those look not it a we're at potential our don't what at as than the you that earlier, peak But that sooner the we required, with what is therefore, that the options saying out to later to possibility? we're having I'm stakeholders do will Sure the rather And performing figure uphold that's So I are that and we conversations. can solution. is. -- work that's And approaching. system is how obligation and its ensure

to in even at X solve you approaching are. stakeholders. this group have have let of we an different. that created we're multiple aligned. know, of of country at one we the address So to There's That their needs issue. with play issue all really different out, and which can all But all but the discussion as table jurisdictions, be working And they it could you just ADI, we're industry, it's I a will are at part needs. across of scenarios that an our we've our I and because and it's jurisdictions, to look solution different we pretend And can't

Operator

Wolfe. Our Fleishman question of the line Steve from from next comes

Steven Fleishman

kind of colocation bit on following up debate. of So guess, little the just, a I just

colocation the letter the the Island highlighted Pennsylvania deal X-mile proud seems the Susquehanna filed and at when they FERC. that So the of Governor filed of -- both pretty with they when

Pennsylvania governors what and have out I of the where lay on on and just guess, sense guess where you a this do an I kind outcome? is And issue? Governor so issue up Illinois get And we too once they the happens bringing

Calvin Butler

Okay. Chief pretend then speak tell as I'll Steve. of our will conversations have been Mike Pritzker, governors, former here, Officer either jump [indiscernible] CEO Governor Operating I PECO the have And Governor once you never that [indiscernible], in had. but is Innocenzo, well. I of for who that can I is to our Mike

can economic from at example say he's months, load looking we is when is will reliability I've at a generation excited online that But heard bringing And mix. development data the he's that Susquehanna bringing forward concerned he's move I not of affordable one. it's new I saying him But of about that it We how We're should they is everyone. affordability concern and center think co-location. that not they new that and and it's power of believe also know online, the And generation They the with period. what mix cost wonderful in is what the do we economic If wonderful is within want very about utilizing do you the PJM. I deal. everyone what jobs development. into -- piece be leaning them, should just that created and I've our the conveyed do shared share was they you believe therefore, affordability shifting premise grid, they is governors. pay and for of the him, of else? how to where power he them are want it, everyone And against Absolutely. and utmost look serve conversations proud That's their the bringing Two, go a X have with And we for of want the that fair for shouldn't each think that. our be that to both and states. into I've their is matters. the he they reliable

anything now everyone details like get the to So we've to working into Mike, with you'd and that we to that's what it happens. add? committed ensure

Michael Innocenzo

would that in I close position well. where I think on you there's said is it is nothing our -- just that. our comment to

where investment is safety, and I the our we've he reliability on our development. on in is done economic grid that position with supported think colocation, everything

Steven Fleishman

Is One the recently PJM that... it made. Okay. hundred think I maybe million of Jeanne, you a was mentioned on couple opportunities from just guess, the filings I transmission. incremental question other -- pending, the

Jeanne Jones

Yes, about one. the talking [indiscernible] we're

Steven Fleishman

there you filings so a not But mean, really scale. together. you Yes. footprint, did was a your have I just group that were given well? made maybe -- utilities obviously, is it and as that huge Is needed there of consider that

Jeanne Jones

we're the customers, there's best Yes, a to with do always You is to resilient, pinnacles other our partner right? open utilities to right? about: looking that. affordable. way at what that Calvin that back We to the reliable, always sure. go for always If do, We're way, talked

Operator

comes the question of line Ross from from Fowler next Bank America. Our of

Unknown Analyst

to quite right second. see We'll dead beat stakeholder next here, discussions to Is that. what happening back going within to lot states PJM that is in my where point the of the see not -- are auction we point or essence, push those to change says I legislative go presumably, for there Just capacity the solutions about are until but discussions forward we perspective, a should time at of of being now? on lot we they've the we FERC horse away would are Should June. PJM, the in I couple me, legislative to asked -- are in enough there legislative XXXX from the yet? a for not mean, at talked PJM. sessions? efforts require are discussion Obviously, a we the now. various a but mean Or

Calvin Butler

take session. urgency fire be from it's say a and I these and the in very the what of today over place. XX I I this XXXX for sense believe what's happens, think, been to going governors too take to to as don't but the do think on I think important days are to next I these the key may be on how now continue key lit. to think to do needs how. believe identify of discussions But think the this, what And lean end -- issue. And that has other what I governor's I letters the year, states indicator will the legislative call the of early

Unknown Analyst

X I see about to in see pretty I it, the your back then which this guess, at I And issues, obviously, now the One think allocation, process say move clear you've But right? ISA, FERC. cost filings. been as forward We'll to to you what we're they is going way the XXX. there's

The reliability. is other

of do it. to So put why how It's where just as you're to ability -- protesting you and and the mechanics like don't not the it. said, you

the you maybe voltage the -- is it don't something mechanics of and my the the really on a cost up to can same PJM, us reliability for average they give what allocation not to a part things need second that little argument really but still don't is grid as if make color in pay an look sure do capacity about of They colocate those grids is sort it the a Or and then question in to some co-locate Is mind, to on And upgrades around really that substations the that's the ancillary paying So they of they works, grid just one, so that actually somewhere, like. do services other more grid? for somewhere? -- they study study, something reliability. stay right? thing are

this. X, grid is plants X, push issue So we from is taking around X, is there reliability perspective as to X, add a somewhere X, keep there there continue discussions we because that off to in your reliability a do if these out something the

So maybe for us. contextualize that

Calvin Butler

Yes.

this, So me let say just Ross.

turn some he to our you But will I'm depth answer Mike it more Jeanne it then well. Officer, Innocenzo, think I over to to Chief said and going Operating you. for and

Michael Innocenzo

Yes.

it the really put you take the adequacy behind They're that's the rate certainly meter X think themselves a falls whether you They're have and it's it design. or These And require ancillary take I the I it in going in going grid. to as certainly them reliability, grid. it's buckets: to going they're upgrades put to off services mean captured impact investments, the grid. the before going existing they power where to to potentially grid, situation really for well. off on facility. resource an may to require the going an they're meter -- future on upgrades impact have

get in just there make have make reliability what transparency those they what We -- design sure quick appropriate addressing to the resource want and they're cover also co-locate, appropriate we sure in future. to if sure want can Our doing. whole it to want be can there that and able support been has just that. get they now that if currently, the we're to We or studies position rate for to we doing has on We the in that want make appropriate adequacy do. done and to either costs, and they

Jeanne Jones

right? would out that is been in changed. never reiterate what We position this it we've colocation. laid our hasn't and -- I the just mean I laid out, We've proceedings, against

for the same large way zero, growth All loads associated. or are cost in opportunity We of the are studied about zero. the grid. right? be Rate gets We've It's loss for other It's of not the out should studied that all already this generation, our right? any reliability sector. reliability excited of not It's design. of laid

So that's clear.

riders could use, we with could And our used clarity for so be FERC, states, that working today high-density at we tomorrow. load getting have

then know new it's located, all is it doesn't and We and accommodate we third this load. right? generation, -- the So to move need where transmission which need more matter again, more adequacy, all ready we're forward. resource we But to

We have processes today address buckets. that of X all those

this grow processes what Let's forward. move continue do. that jobs looking let's That's economy to move use and and those and forward we're let's to grow

Calvin Butler

ensure No across has about important the anything And to our that. reality. with put and important our others to the resiliency in to we're those work continuing in know and that place the I just to to economic you wanted and reliability utilities let work that country, of said one to And grid. mechanisms a And occur. basis fact to development ensure not with know have daily, jurisdictions remove conversations the an barriers we've across said the note forefront have that, center have been we're we gigawatts now T, Ross, Illinois to X potentially in it's recognized largest all we XX to if our it's that been and have for weekly they developers. on the very data on gigawatts this of dosing that indicator and conversations is making And a

I the appreciate So question. .

Unknown Analyst

maybe jurisdictional But questions gets rates is a Clearly, here. has of allocation appreciate Calvin. gotten PJM's sort one then into a just mandate, on the of discussion. reasonable which I And reliability responsibility. around that, FERC we've stuff just cost and the ultimately lot

and interplay that how So PJM between ISA the work walk filings? FERC does as through reliability of we

Calvin Butler

please. . Colette, Yes.

Colette Honorable

that's a really if PJM, to Ross, mandate to oversee why here. the Yes, lead we us me you've of But seen about they're Federal on function. And forgive into issues you. stepping air reliability duty for Thank person and here region. Power question. FERC our I'm that And overseas and thanks the the owning reliability these the of And grid. traffic sound frontline policy. this like going Act, reliability reliability, the we and they are Under like lawyer critical the the on for think technical has controller

We are unprecedented time an this sector. in in

service generation a agreement. has has transmission wholesale relates particular, FERC in matters, duty it the FERC So matters interconnection sole as over to and jurisdiction

is reliability and state. So in aspects U.S. reside and our that with of some with framework the the what's some the interesting there about that are is resides work federal government

are utilized hope they're weeds how point, the the to the at where But So because I this from we level. need grid. take have. heard in large for to rely have is you customers the that are they utilize then for commercial zero that grid. level. the the this Jeanne using retail riders they those And with Generation And not of at setting and We and their you. wasn't load Jeanne regulated the mention, is uniqueness into on to as to industrial FERC. grid out, much when and We large play referenced state Jeanne's too is policy that already connected going already riders customers. account paying actually we services are

Unknown Analyst

no, that's fine. No,

going out a out, test dealing means position. to to sort finally policy makes level it here overall has and context we're of So with basically, PJM to sort X then in the down that sense. state sort set to we're at if redesign layers for what that

Colette Honorable

Exactly.

Operator

the closing now would to Butler Calvin time, this back Thank like turn to remarks. for At you. I conference

Calvin Butler

just to with all that team And on of Thank where look And forward the investing investors. questions in having and a Exelon you, our in a the say couple capital of at are leading we're all positions I'm a way just support. Gigi. everyone recall weeks sector. we're also including of EEI energy Gigi, of interest, to yours thanking exciting transformation. for in taking we pleased shared seeing way, that and your I the interest meets how forward look call. time more of the stakeholders as your all in-depth we're leading and Exelon more this this that, you your in can't We me discussions begin going to and is by that you just just why and many concludes let and

Operator

Thanks participants to joining all today. our for presentation. us concludes This our

good You may now disconnect. Have day. a

Exelon (EXC) 30 Oct 242024 Q3 Earnings call transcript