NV Energy
| Company type | Public utility |
|---|---|
| Industry | Electric and natural gas utility |
| Founded | 1998 |
| Headquarters | Las Vegas , United States |
Area served | Northern and southern Nevada, including Las Vegas Valley and Reno–Sparks metropolitan area |
| Products | Electric generation, transmission, distribution, natural gas service |
| Owner | Berkshire Hathaway (92%), Walter Scott Jr. family (8%) |
Number of employees | 2,500 |
| Parent | Berkshire Hathaway Energy |
NV Energy operates as a public utility delivering electric generation, transmission, and distribution services across northern and southern Nevada, including the Las Vegas Valley, as well as providing natural gas service in the Reno–Sparks metropolitan area. Its headquarters are located in Las Vegas, Nevada, serving roughly 1.3 million customers along with more than 40 million visitors annually.
In December 2013, NV Energy was acquired by MidAmerican Energy Holdings Company, a subsidiary of Berkshire Hathaway (now known as Berkshire Hathaway Energy). Despite the change in ownership, the company retained its original name and continued to operate from Las Vegas. Prior to this acquisition, NV Energy’s shares were publicly traded on the New York Stock Exchange under the ticker symbol NVE.
Financially, in 2017 the company reported revenues of US$3.016 billion, operating income of US$755 million, and net earnings of US$344 million. NV Energy employs around 2,500 individuals and is predominantly owned by Berkshire Hathaway (92%), with the Walter Scott Jr. family holding the remaining 8%.
History
NV Energy was formed in 1998 through the consolidation of Nevada’s two principal utilities: Sierra Pacific Power based in northern Nevada (Reno) and Nevada Power serving Las Vegas.
Sierra Pacific Power’s origins trace back to 1928 through mergers of entities dating as far back as the 1850s. It reorganized into a holding company named Sierra Pacific Resources in 1984. Nevada Power began operations in 1906 as Consolidated Power and Telephone Company of Nevada; it divested its telephone business in 1929, later renamed Southern Nevada Power before adopting the name Nevada Power in 1961. Notably, it became the first Nevada company listed on the New York Stock Exchange in 1962.
The merger of Sierra Pacific and Nevada Power occurred in 1999, with Sierra Pacific Resources surviving as the parent company and Nevada Power becoming a subsidiary operating unit. The corporate headquarters moved from Reno to Las Vegas. This merger resulted in a utility covering over 44,400 square miles and serving nearly all populated regions within Nevada.
On September 22, 2008, both companies unified their branding under NV Energy; subsequently, Sierra Pacific Resources changed its name to NV Energy, Inc.
In 2009, NV Energy divested its California assets to a joint venture between Algonquin Power & Utilities and Emera; Algonquin later assumed full control. By February 2010, NV Energy entered into a two-decade contract to purchase power exclusively from Pattern Energy’s Spring Valley Wind Farm—a $225 million project that commenced operations in August 2012—providing electricity to approximately 40,000 homes throughout northern Nevada and Las Vegas.
In July 2018, NV Energy initiated an electric vehicle infrastructure program backed by a $15 million investment authorized by the Nevada Public Utilities Commission. This program supports publicly accessible charging stations and complements a broader state initiative involving $295 million dedicated to solar power and renewable energy incentives.
Service reliability
Between 2010 and 2012, NV Energy ranked within the top decile of electric utilities nationwide for distribution service reliability and was recognized as the best-performing utility across the country in 2009. These rankings were determined by comparing interruption frequency and duration against peer companies classified by the Edison Electric Institute.
Electric power sources
NV Energy delivers electricity to its customers through a combination of company-operated power plants—mainly fueled by natural gas—alongside purchased electricity and renewable energy resources. The company currently surpasses Nevada’s renewable portfolio standard, which mandates 18% of total energy sales come from renewables. Specifically, northern Nevada achieves a renewable energy share of 33.6%, while southern Nevada reaches 20.2%.
In April 2019, Nevada enacted legislation requiring all electricity providers, including NV Energy, to generate 50% of their electricity from renewable sources by 2030 and to achieve 100% carbon-free electricity generation by 2050.
Solar power
NV Energy has secured power from the Playa Solar 2 project, a 100 MW facility, under a 20-year power purchase agreement at a rate of $0.0378 per kWh. In 2018, the company revealed intentions to acquire energy from the 300 MW Eagle Shadow Mountain Solar Project, developed by Avantus.
By June 2019, NV Energy announced plans for three solar developments totaling 1,200 MW combined with 590 MW of battery storage capacity. These projects, led by developers such as 8minute Solar Energy, EDF Renewables, Quinbrook Infrastructure, and Arevia Power, aim for completion by 2023:
- Arrow Canyon Solar Project (200 MW)
- Southern Bighorn Solar & Storage Center (300 MW)
- Gemini Solar + Battery Storage Project: a $1.9 billion investment featuring a capacity of 690 MW and an accompanying battery system rated at 380 MW / 1,400 MWh with a cost of $38.44 per MWh
These initiatives mark a substantial growth in NV Energy’s renewable generation portfolio and energy storage infrastructure.
Additional projects
In 2006, NV Energy announced intentions to build the Ely Energy Center near Ely, Nevada, but the project experienced approximately a decade-long delay starting in February 2009.
The Harry Allen gas-fired plant was completed in May 2011 ahead of schedule and under budget.
Prior to 2013, northern and southern Nevada’s electric grids functioned independently. This changed with the commissioning of the 500-kilovolt One Nevada Transmission Line (ONLine) in late 2013, linking the Harry Allen plant with Ely. The ONLine enhanced system reliability, lowered operational costs, and facilitated the integration of renewable energy sources—including wind, solar, and geothermal—from remote locations within the state.
"Energy Choice" program
Nevada voters considered establishing a competitive retail electricity market in ballot initiatives held in 2016 and again in 2018; however, the proposal was rejected during the latter vote. Despite this outcome, between 2016 and 2018 six prominent commercial customers opted to leave NV Energy, obtaining their power from alternative suppliers as permitted under a state law enacted in 2001.
Subsidiaries
- Nevada Power Company
- Sierra Pacific Power Company