Gas, Nuclear and GE Vernova
Portfolio tailwinds and headwinds
๐๐๐๐ฉ ๐๐๐ช๐๐๐ฉ ๐ข๐ฎ ๐๐ฉ๐ฉ๐๐ฃ๐ฉ๐๐ค๐ฃ? Tailwinds and headwinds highlighted during GE Vernovaโs 2024 results call. Specifically, strength in gas fired generation (across a variety of turbine models), headwinds for onshore wind, and medium/long-term excitement for SMRs.
๐๐๐ฎ ๐๐ฉ ๐ข๐๐ฉ๐ฉ๐๐ง๐จ? GE Vernova provides insight into where investment is focused in power market. Highlights were:
Gas: Rapid growth, driven by US load increases and AI-driven data center demand, is prompting a capacity expansion for heavy-duty gas turbines from 48 units in 2023 to 70-80 annually by late 2026. Gas orders doubled to 20 GW this year, with shipments expected to reach 20 GW annually by 2027 and remain steady.
Nuclear: Growing interest and see an opportunity to add 5 gigawatts of nuclear power in the US between existing facilities using their technology (65 plants) and potential restarts.
Wind: Cautious on the timing of an onshore order inflection in North America as customers continue to navigate growing interconnection queues and higher interest rates
SMRs: Expect the first plant will be commissioned in Canada in 2029 and have growing confidence that many more will be commissioned in the US in โ2032 and beyondโ.
