Trump Will Allow for More Gas Pipe Expansion, Southern CEO Says

• Utility says looser rules to spur new plants, pipelines
• Firm beats 4Q profit estimates, sees data center demand growth

By Mark Chediak

President Donald Trump’s drive to loosen permitting requirements and speed up the development of energy resources will allow for Southern Co. to expand its natural gas pipeline network and build new gas plants, the head of the US Southeast utility said.

“The administration wants to make sure that data centers, artificial intelligence and technology advancement remains in this country,” said Southern Chief Executive Officer Chris Womack. “And for that to happen soon, we’ve got to match up our resources with this growing demand.”

Southern reported fourth-quarter adjusted profit on Thursday that beat analyst expectations. The company also raised its five-year capital spending plan by a little more than 30% compared with the prior five-year period to meet growing power demand from AI-powered data centers and economic growth in its service territories in Georgia, Alabama and Mississippi. The company also boosted its projected electricity sales growth from 6% to 8%.

Read More: Utilities Are ‘Full Speed’ on Data Centers Even After DeepSeek

The demand boom from AI, electrification and new factories threatens to complicate climate goals as utilities race to add power sources including natural gas. Southern maintains it’s committed to its emissions targets even as it expands its gas network. The company aims to reduce greenhouse gas emissions by 50% from 2007 levels by 2030 and reach net zero by 2050. Southern reported on Thursday a 49% reduction of emissions in 2024 compared with 2007.

Womack said the company hadn’t seen a pullback in data center demand after the release of DeepSeek’s more efficient AI model. “The pipeline continues to grow,” he said in an interview. “The beats just keep coming.”

— With assistance from Arvelisse Bonilla Ramos

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