Southern Company significantly increased its 5-year base capital plan for 2025-2029 by $13 billion, raising the total to $76 billion. This substantial investment is projected to support a 7% average annual rate base growth, reflecting the company's commitment to meeting surging energy demand in the Southeast.
A key component of this updated plan includes $12 billion of state-regulated capital tied to Georgia Power's 2025 Integrated Resource Plan (IRP) approval. Under the approved IRP, Georgia Power has filed to certify approximately 10 gigawatts of new generation, with 7 gigawatts being company-owned resources, comprising a mix of combined cycle natural gas, stand-alone battery energy storage, and solar-plus-storage.
To fund this increased capital plan, Southern Company projects approximately 40%, or $5 billion, will be financed with additional equity or equity equivalents through 2029. The company has already proactively addressed over $3 billion of these equity needs in the last six months through its At The Market (ATM) program, internal equity plans, and junior subordinated notes issuances. This disciplined financing strategy aims to achieve an FFO to debt target of approximately 17% in the latter part of the forecast horizon.
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