So, in a lot of respects, the management of this enterprise has been a joint collaboration of Chris and I over time, and it reflects collaboration of people across the nation. And in pretty much every respect, everybody is continuing to do their work in the way that they did before. So, I think this transition is actually about as smooth as you possibly could imagine. And as you’ve noted, I think a key hallmark for us in terms of capital allocation and planning for Clearway Energy, Inc., is that we will continue on with the business model that has been very successful for us to date. So, that’s absolutely a starting point. I think we are at a juncture here now where we have the opportunity to look ahead, and I think to the extent that there are new things afoot, it’s really going to be a function of what the dynamic energy markets provide us as an opportunity, and we feel quite good about what those can ultimately provide for Clearway Energy, Inc.
as we look forward.
Noah Kaye: Thanks for that color, Craig. Hoping you could give us an update wearing one of your hats on the development side. We’ve heard from some of the equipment providers into the solar space so far this quarter around some project delays, and obviously there’s just very robust demand for power, given one of my peers earlier comments around data center and other load growth. But just talk about what you are seeing in terms of bottlenecks, gating factors, and how you’re viewing kind of the timetables and trajectory for the key projects you have under development.
Craig Cornelius: Yes. I mean, I think one of the things that we’re very proud of about Clearway as we built it up over time is just the overall quality of craftsmanship that we bring to our work in every dimension, which includes the way that we develop projects, structure them, and obtain supplies for them. I think something that we’ve demonstrated over the last five years is that in general, we have demonstrated a thoughtfulness around potential risks in supply chain or policy disruptions that has allowed our company to continue executing projects where sometimes peers have been less able to do so. And I think that’s something that’s certainly occurring now again. So, we invested pretty heavily around high voltage equipment supply over the course of the last few years.
I think we did that ahead of peers, which helped secure execution timetables for us and for the utility customers that we serve and need to interconnect us. I think we were pretty thoughtful about establishing domestic content supply chains for all of wind and solar and battery projects, which both can convey additional value and fundamental economic returns for projects, but also assure that the projects can be executed when policy changes may make it more difficult to import certain equipment. And again, we’ve done that. We’ve previously announced that we had established domestic content supply chains, for example, for solar and for battery projects. And those supply chains are absolutely going to help us underpin the execution timetables that we have projects for over the late-stage pipeline we’d identified through 2026 and 2027.
And I think as you’re probably alluding to, with respect to potential near-term disruptions for solar projects, we don’t face a risk of those based on the more recent solar trade cases that have been formulated, based on the format of the supply chains that we’re maintaining and our contractual relationships and the format of that trade case. So, we feel very good about fulfillment to the projects that we’ve offered already, the new ones that are pending offer and the timetables that are shown here. And we feel also very good about the family of supply chain solutions that are required to continue to advance the 4.4 gigawatts of late-stage projects that we’ve identified for growth over 2026 to 2029.
Noah Kaye: Very clear and detailed. Thank you.
Operator: Thank you. [Operator instructions]. Our next question comes from Alex Kania with Marathon Capital. You may proceed.
Alex Kania: Hey, good morning. First of all, again, congrats both Chris and Craig, to kind the new future roles and everything. So, that that’s great. Maybe thinking about the battery opportunities, certainly with the new framework for development, joint development of effectively I guess retrofitting battery to existing renewables, just wondering if you could talk a little bit more about what that opportunity means in a greater context among the whole portfolio. And then what was the kind of maybe financial thoughts behind moving forward with that. Are battery prices low enough and returns high enough that this makes a lot of sense today, maybe even preferable to other types of renewable development. I just want to kind of think about like where the batteries show up in the hierarchy of investment opportunities.
Craig Cornelius: Yes, sure. Well, I mean, I think something that you may have noticed over the course of the last few years was that Clearway surged a pretty substantial development investment campaign to create opportunities, both for greenfield construction of batteries, as well as increasingly additions of batteries at sites that already house operating renewable projects that are owned by CWEN. And we did that being a major incumbent in the west, recognizing that it was likely that regulators and load-serving entities would have a need to procure incremental capacity to be able to enhance grid reliability, and that they would exhibit a preference to doing that wherever possible with batteries. And that puts us in a position in those markets of the west to be able to execute revenue contract structures that are favorable, extremely favorable for the company in duration and settlement terms, as well as price.
And that’s something that you can see in the hybridized solar and battery projects that we’ve just completed this past year, and which CWEN now has an ownership interest in, in California the most recent set of projects that we’ve offered and signed commitments around in the case of Rosemont South and that are pending in the case of Luna Valley and Daggett 1, but it also includes situations like this one for the Utah projects, where acreage adjacent to our existing projects and grid capacity in those locations can accommodate additional batteries. And the types of duration on toll contracts for those batteries that we’re able to secure in a lot of respects, are the most favorable types of tenors that can be achieved in today’s market because of how essential those battery resources are.
With respect to cost, yes, I think we’ve been really collectively pleased across the industry about the continuing improvements in performance efficacy and safety of batteries, as well as the cost structure for manufacturing and delivering them and constructing them. It’s reminiscent of the kind of evolution that we saw in the industry for solar over 2011 to 2015, and that cost structure and the execution experience that we as a company are growing and the industry is generally makes these resources, I think extremely executable for construction and also high performing when in operation. And so, we really like the fact that we’ve got as many projects as we do, gigawatts of them, in the western US in places where load-serving entities and utilities need to firm those renewable resources with batteries, and the kind of execution capability we’ve built up.
