Santa Clara utility plans major growth initiatives and renewable energy projects

The State of the Utility 2025 meeting took place on May 30, 2025, in Santa Clara, California, led by Ariel Romero Cox and acting Chief Electric Utility Officer Nico Prokos. The meeting aimed to provide updates on the utility's performance, future growth, and strategic initiatives.

The session began with an introduction to the key customer representatives assigned to attendees, emphasizing their role as energy advisers for various utility services. Prokos acknowledged the efforts of the team in organizing the event and outlined the meeting's agenda, which included discussions on organizational structure, budget, load growth, and utility priorities.

Prokos presented data on the utility's historic load growth, noting a significant increase in energy consumption since 2015, largely attributed to the rise of data centers. The fiscal year 2025 budget was reported at $670 million, with a five-year capital budget nearing $1 billion. Prokos highlighted that industrial customers account for approximately 92% of sales, a unique characteristic that allows for cost-effective local projects and stable rates.

The utility's key priorities were outlined, focusing on growth and expansion, maintenance programs, power acquisition strategies, and enhancing customer experience. Prokos indicated that the system's operating limit is currently 750 megawatts, with plans to increase this to 1,300 megawatts to accommodate anticipated growth. Staffing needs were also discussed, with an ongoing study expected to confirm the necessity for additional personnel.

Several major expansion projects were announced, including the rebuilding of receiving stations and the construction of a new transmission line. A battery energy storage project is also underway, aimed at enhancing the utility's capacity and reliability. Prokos emphasized the shift towards predictive maintenance strategies, utilizing advanced technologies to prevent outages and improve system efficiency.

The meeting concluded with a preview of upcoming contracts and projects, including a joint council meeting to discuss policies related to data centers. Prokos encouraged attendees to engage in the ongoing discussions about the utility's future direction and the importance of renewable energy procurement in meeting the city's sustainability goals. Overall, the meeting underscored the utility's commitment to growth, innovation, and customer service in the face of increasing demand.