Infrastructure Equities

Utilities: Powering the Future Economy 

Video

Jul 02, 2025

 

 

Juan Carlos (JC) Barajas, an analyst on the Infrastructure Equities team focused on utilities, renewables and grid modernization, recently sat down to answer timely questions on the electric utility sector.

In the video, JC discusses the evolving landscape of electric consumption and the implications for utility investments, including:

  • Electric consumption trends: U.S. electric consumption, previously flat, is expected to increase significantly due to factors like re-shoring and the data infrastructure buildout to support artificial intelligence (AI) growth. 
  • Power capacity challenges: Currently, there is insufficient power capacity to meet projected demand, prompting utilities to expedite new generation projects. This process is often slow due to regulatory hurdles, but the urgency of load growth is forcing utilities to adapt.
  • Potential benefits of load growth: If managed effectively, increased demand could lead to lower rates for consumers and economic growth in local areas. Utilities can spread fixed costs over a larger customer base, enhancing operational efficiency.
  • Our view: The Public Securities Group sees utilities as key players in policy initiatives related to reshoring and AI. We think the sector is well positioned to benefit from this secular growth trend for the foreseeable future.

 

DISCLOSURES

All investing involves risk. The value of an investment will fluctuate over time, and an investor may gain or lose money, or the entire investment. Past performance is no guarantee of future results.

The information contained herein is for educational and informational purposes only and does not constitute, and should not be construed as, an offer to sell, or a solicitation of an offer to buy, any securities or related financial instruments. This commentary discusses broad market, industry or sector trends, or other general economic or market conditions, and it is being provided on a confidential basis. 

Views and opinions expressed are subject to change. This presentation is being made available for educational and informational purposes only and do not constitute, and should not be construed as, an offer to sell, or a solicitation of an offer to buy, any securities or related financial instruments in any jurisdiction. Further this communication does not constitute and should not be construed as are commendation or testimonial for any securities, related financial instruments, products or services of Brookfield Corporation (“Brookfield”) and certain of its affiliates. 

Information herein contains, includes or is based on forward-looking statements. Forward-looking statements include all statements, other than statements of historical fact, that address future activities, events, or developments, including without limitation, business or investment strategy or measures to implement strategy, competitive strengths, goals, expansion and growth of our business, plans, prospects and references to our future success. You can identify these statements by the fact that they do not relate strictly to historical or current facts. Words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “seek” and other similar words are intended to identify these forward-looking statements. Forward-looking statements can be affected by inaccurate assumptions or by known or unknown risks and uncertainties. Many such factors will be important in determining our actual future results or outcomes. Consequently, no forward-looking statement can be guaranteed. Our actual results or outcomes may vary materially. Given these uncertainties, you should not place undue reliance on these forward-looking statements.

©2025 Brookfield Public Securities Group LLC. Brookfield Public Securities Group LLC is an indirect majority owned subsidiary of Brookfield Corporation. 

P-747139