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NextEra Energy, US, Japan Agree to Funding Terms for up to 10 GW of Gas Generation

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NextEra Energy (NEE) signed definitive agreements with the US Department of Commerce and the government of Japan to fund the development and operation of up to 10 gigawatts of natural gas-fired power generation in Texas and Pennsylvania, the company said in a statement on Thursday.

The agreements mark a funding milestone for two projects selected as part of Japan's $550 billion investment commitment to the US under a US-Japan trade agreement announced in March.

The agreements release the first tranche of funding for the projects, which NextEra said will support development activities including down payments for long-lead equipment such as turbines and the selection of engineering, procurement and construction contractors. Further details of the agreements were not disclosed.

NextEra said the funding, provided in partnership with the US and the Japanese government, is intended to help accelerate construction of large-scale power infrastructure.

The company said initial generation from the projects could come online as early as the end of 2028, with the developments expected to be completed by 2032.

NextEra will continue development in coordination with federal, state and local authorities, the company said. The projects remain subject to permitting and other regulatory requirements, as well as development, construction and commissioning activities.

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