PSO’s $1.2 Billion Filing Reflects Nationwide Utility Investment
The Public Service Company of Oklahoma (PSO) has filed with the Oklahoma Corporation Commission for approval of $1.2 billion in energy projects, underscoring a national trend of utility-driven capital spending to strengthen the grid and prepare for new demand.
The filing follows the Edison Electric Institute’s (EEI) annual Financial Review, which shows that investor-owned electric companies in the U.S. are outspending all other capital-intensive industries to modernize energy infrastructure.
Record-Breaking Utility Capital Spending
According to EEI:
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U.S. utilities invested a record $178.2 billion in 2024, marking the 13th straight year of record investment.
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Over the past decade, utilities invested $1.3 trillion in generation, transmission, and distribution upgrades.
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They are projected to invest $1.1 trillion between 2025–2029, driven by surging electricity demand from AI, data centers, reshoring of manufacturing, and industrial expansion.
EEI CEO Drew Maloney explained:
“Our industry’s capital expenditures are higher than any other sector in the U.S. economy. These investments create good-paying jobs, support local economies, and make innovation possible. America’s electric companies are leading in this unique and critical moment for our nation.”
Oklahoma Utilities Among Top Performers
The review highlighted top-performing utilities nationwide. OG&E Energy Corp. ranked among the best in 2024, delivering a 23.4% return. Neighboring utilities like Entergy (55.9% return) and Evergy (23.4% return) also posted strong gains.
Even with rising demand, the report noted that industry-wide revenues slipped by 0.1% due to falling natural gas prices, despite an increase in U.S. electric output of 2.6%.
Demand Growth From AI and Data Centers
Utilities across the country are preparing for unprecedented electricity demand, largely from AI infrastructure and new hyperscale data centers. Many companies are planning a mix of new natural gas and renewable generation capacity to meet the load while emphasizing grid hardening and consumer bill stability.
Still, balancing growth with affordability remains a challenge. Utilities often cite a goal of keeping rate increases at or below inflation.
Dividends and Market Outlook
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The industry’s dividend payout ratio hit 62.2% at the end of 2024, the highest among U.S. business sectors.
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Dividend yields averaged 3.6% as utilities continued to attract investors.
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The EEI Index returned 19.1% in 2024, underscoring the sector’s strong performance.
With steady guidance of 4–8% long-term earnings growth, the utility sector remains positioned as one of the most stable investment categories while leading America’s energy transition.
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