道明尼資源 (D) 2023 Q2 法說會逐字稿

Welcome to the Dominion Energy Second Quarter Earnings Conference Call. (Operator Instructions)

歡迎參加 Dominion Energy 第二季度收益電話會議。 （操作員說明）

I would now like to turn the call over to David McFarland, Vice President of Investor Relations.

我現在想將電話轉給投資者關係副總裁戴維·麥克法蘭 (David McFarland)。

Good morning, and thank you for joining today's call. Earnings materials, including today's prepared remarks, contain forward-looking statements and estimates that are subject to various risks and uncertainties. Please refer to our SEC filings, including our most recent annual reports on Form 10-K and our quarterly reports on Form 10-Q for a discussion of factors that may cause results to differ from management's estimates and expectations.

早上好，感謝您參加今天的電話會議。收益材料，包括今天準備的言論，包含前瞻性陳述和估計，這些陳述和估計受到各種風險和不確定性的影響。請參閱我們向 SEC 提交的文件，包括我們最新的 10-K 表年度報告和 10-Q 表季度報告，了解可能導致結果與管理層的估計和預期不同的因素的討論。

This morning, we will discuss some measures of our company's performance that differ from those recognized by GAAP. Reconciliation of our non-GAAP measures to the most directly comparable GAAP financial measures, which we can calculate are contained in the earnings release kit. I encourage you to visit our Investor Relations website to review webcast slides as well as the earnings release kit.

今天早上，我們將討論一些與公認會計準則認可的公司業績不同的衡量標準。我們的非 GAAP 指標與最直接可比的 GAAP 財務指標的對賬（我們可以計算）包含在收益發布工具包中。我鼓勵您訪問我們的投資者關係網站，查看網絡廣播幻燈片以及收益發布工具包。

Joining today's call are Bob Blue, Chair, President and Chief Executive Officer; Steven Ridge, Senior Vice President, Chief Financial Officer; and Diane Leopold, Executive Vice President, Chief Operating Officer.

董事長、總裁兼首席執行官鮑勃·布魯 (Bob Blue) 參加了今天的電話會議； Steven Ridge，高級副總裁兼首席財務官；執行副總裁兼首席運營官黛安·利奧波德 (Diane Leopold)。

I will now turn the call over to Bob.

我現在將把電話轉給鮑勃。

Thank you, David. Good morning, everyone. As announced this morning, we reported second quarter operating earnings of $0.53 per share. Our results were meaningfully impacted by historically mild weather and outages at the Millstone Power Station, both of which will address later in our prepared remarks. But first, I'll address our safety performance and provide an update on the status of the business review.

謝謝你，大衛。大家，早安。正如今天上午所宣布的，我們報告第二季度運營收益為每股 0.53 美元。我們的結果受到了歷史上溫和天氣和磨石發電站停電的重大影響，這兩個問題將在我們準備好的發言中稍後討論。但首先，我將討論我們的安全績效並提供業務審查狀態的最新信息。

Turning to Slide 3. Our employee OSHA injury recordable rate for the first half of the year was 0.32. This remarkable performance has us on pace to achieve the best safety year in the history of our company. Safety is, of course, much more than just a number on a page. It's our first core value and represents the well-being of our people. I commend my colleagues for the dedicated focus necessary to create and maintain the safety mindset and work practices that enable this outstanding performance.

轉向幻燈片 3。上半年我們的員工 OSHA 傷害可記錄率為 0.32。這一卓越的表現使我們有望實現公司歷史上最好的安全年。當然，安全不僅僅是頁面上的數字。這是我們的首要核心價值觀，代表著我們員工的福祉。我讚揚我的同事們為創造和維持安全心態和工作實踐所必需的專注，從而實現了這一出色的業績。

Moving now to the business review. I'm pleased with the progress we're making toward delivering a compelling repositioning of our company to create maximum long-term value for shareholders, employees, customers and other stakeholders. As I've said before, I'm as excited as ever for the future of our company. Our guiding commitments and priorities are unchanged and replicated identically on Slide 4.

現在轉向業務審查。我對我們在對公司進行引人注目的重新定位方面所取得的進展感到高興，以便為股東、員工、客戶和其他利益相關者創造最大的長期價值。正如我之前所說，我對我們公司的未來一如既往地感到興奮。我們的指導性承諾和優先事項保持不變，並在幻燈片 4 中進行了相同的複制。

The review timeline shown on Slide 5 is also unchanged. We expect to conclude the review and host an Investor Day during the third quarter, at which we will provide an updated strategic and financial outlook for the company. We're working expeditiously but conscientiously in recognition of the vital importance of achieving an optimal result.

幻燈片 5 中顯示的審核時間表也沒有變化。我們預計將在第三季度完成審查並舉辦投資者日活動，屆時我們將為公司提供最新的戰略和財務前景。我們認識到實現最佳結果的至關重要性，正在迅速而認真地開展工作。

Since announcing the review last November, we have, among other steps rigorously engaged with our shareholders to listen, reflect and inform our business review commitments and priorities. We're committed to maintaining a similar level of engagement as we navigate through and beyond the review. We know that rebuilding trust is vital. We've positioned Dominion Energy for long -- Dominion Energy Virginia for long-term success by working collaboratively with key stakeholders to simplify the regulatory framework, provide meaningful rate relief to customers and ensure the stability that will allow our company to confidently continue to allocate billions of dollars of annual investment in support of the economic prosperity of the citizens of the Commonwealth of Virginia to the benefit of both customers and capital providers.

自去年 11 月宣布審查以來，我們採取的措施之一是與股東進行嚴格接觸，以傾聽、反映並告知我們的業務審查承諾和優先事項。我們致力於在審核期間和審核結束後保持類似水平的參與度。我們知道重建信任至關重要。我們對Dominion Energy 的長期定位是，通過與主要利益相關者合作，簡化監管框架，為客戶提供有意義的費率減免，並確保穩定性，使我們公司能夠自信地繼續分配資源，以實現弗吉尼亞州Dominion Energy 的長期成功。每年投資數十億美元，支持弗吉尼亞聯邦公民的經濟繁榮，使客戶和資本提供者受益。

We've confirmed our commitment to the current dividend. We've committed to and taken steps to improve operating earnings quality. We continue to focus on cost control by looking for what more can be done without losing sight of the absolute necessity of meeting high customer service standards and against the backdrop of the significant operational and cost efficiencies we've achieved over the last several years.

我們已經確認了對當前股息的承諾。我們致力於並採取措施提高運營盈利質量。我們繼續關注成本控制，尋找更多可以做的事情，同時又不忽視滿足高客戶服務標準的絕對必要性，並以我們在過去幾年中取得的顯著運營和成本效率為背景。

So consistent with prior comments, while there may be some potential in that area, we do not see it as a game changer. We've included our O&M performance metrics in the appendix of today's materials for reference. And we have committed to an improved credit profile and taking the first step toward that goal by announcing an agreement to sell our remaining interest in Cove Point, which will generate approximately $3.3 billion of cash after tax which we will use to reduce debt. This highly credit-accretive transaction was the result of a robust and competitive sale process. The sale represents an attractive exit from what has been an excellent investment for our shareholders. With this sale, we've recycled nearly $9 billion of cash flow since 2018, which is well in excess of our total investment in the facility, inclusive of the export project construction cost of approximately $4 billion.

因此，與之前的評論一致，雖然該領域可能有一些潛力，但我們並不認為它會改變遊戲規則。我們將運維績效指標納入今天材料的附錄中，以供參考。我們致力於改善信用狀況，並為實現這一目標邁出了第一步，宣布達成協議，出售我們在Cove Point 的剩餘權益，這將產生約33 億美元的稅後現金，我們將用這些現金來減少債務。這項高度信用增值的交易是穩健且具有競爭力的銷售流程的結果。此次出售對我們的股東來說是一項極好的投資，是一次有吸引力的退出。通過這次出售，我們自 2018 年以來已回收了近 90 億美元的現金流，這遠遠超過了我們對該設施的總投資，其中包括約 40 億美元的出口項目建設成本。

We've included the investor slides we published at the time of the announcement in the appendix of today's materials. The request for HSR clearance and the DOE notification have both been filed, and we expect the transaction to close later this year. We will continue to announce updates as events warrant, as we work to finalize additional business review inputs in advance of the Investor Day.

我們已將發佈公告時發布的投資者幻燈片納入今天材料的附錄中。 HSR 許可請求和能源部通知均已提交，我們預計交易將於今年晚些時候完成。我們將繼續根據事件需要宣布更新，並努力在投資者日之前敲定更多的業務審查意見。

With that, I'll turn it over to Steven to address financial matters.

這樣，我會將其交給史蒂文來解決財務問題。

Thank you, Bob, and good morning. Our second quarter 2023 operating earnings, as shown on Slide 6, were $0.53 per share. As you're aware, we revised our second quarter guidance on June 30 from a range of $0.58 to $0.68 per share to a range of $0.44 to $0.50 per share to reflect our expectation for the negative impact of weather and unplanned outages at Millstone.

謝謝你，鮑勃，早上好。如幻燈片 6 所示，我們 2023 年第二季度的營業利潤為每股 0.53 美元。如您所知，我們於 6 月 30 日將第二季度指引從每股 0.58 美元至 0.68 美元調整為每股 0.44 美元至 0.50 美元，以反映我們對 Millstone 天氣和意外停電負面影響的預期。

First, on weather. I'll just note that second quarter weather was the mildest relative to 15-year normal in the last 50 years and amounted to an $0.08 headwind during the quarter. With regard to Millstone, we experienced both an increase to the duration of a planned outage at Unit 2 and an extended unplanned outage at Unit 3, which taken together amounted to an additional $0.08 headwind during the quarter. These outages are uncharacteristic for Millstone, which has a strong history as the largest 0 carbon electricity resource in New England of exemplary safety and reliability performance.

首先，關於天氣。我只想指出，第二季度的天氣相對於過去 50 年來 15 年正常情況來說是最溫和的，該季度的逆風金額為 0.08 美元。就 Millstone 而言，我們經歷了 2 號機組計劃停電持續時間的延長和 3 號機組非計劃停電時間的延長，這總計導致本季度額外損失 0.08 美元。這些停電對於 Millstone 來說是不尋常的，該公司作為新英格蘭最大的零碳電力資源有著悠久的歷史，其安全性和可靠性堪稱典範。

Senior leadership, including Eric Carr, who recently joined as our new Chief Nuclear Officer, after several years at PSEG, most recently as their Chief Nuclear Officer, has instituted a thorough and peer-involved review of the plant's operating practices to ensure that despite the unusual nature of these outages, the station is prepared to consistently operate at its maximum potential for years to come.

高級領導層，包括最近加入我們擔任新任首席核官的埃里克·卡爾(Eric Carr)，他在PSEG 工作了幾年，最近擔任了首席核官，對工廠的運營實踐進行了徹底的、同行參與的審查，以確保儘管由於這些停電的性質不同尋常，該站已準備好在未來幾年持續發揮最大潛力運行。

Higher sales and lower O&M contributed to the modest outperformance relative to the revised guidance range. Relative to the second quarter last year, positive factors include higher sales and O&M timing. Negative factors include higher interest expense, lower DEV margins for certain utility customer contracts with market-based rates, higher depreciation, the absence of solar investment tax credits and as discussed, weather in Millstone.

銷售額的增加和運營與維護的減少導致了相對於修訂後的指導範圍的適度超越。與去年第二季度相比，積極因素包括更高的銷售額和運維時機。負面因素包括較高的利息費用、某些公用事業客戶合同的市場利率較低的開發利潤率較低、折舊較高、缺乏太陽能投資稅收抵免以及正如所討論的米爾斯通的天氣。

Second quarter GAAP results reflect a net income of $0.69 per share, which includes the positive noncash mark-to-market impact of economic hedging activities and unrealized gains in the value of our nuclear decommissioning trust funds. A summary of all adjustments between operating and reporting results is included in Schedule 2 of the earnings release kit.

第二季度 GAAP 業績反映每股淨利潤 0.69 美元，其中包括經濟對沖活動的積極非現金按市價影響以及我們的核退役信託基金價值的未實現收益。運營和報告結果之間的所有調整摘要均包含在收益發布工具包的附表 2 中。

Moving now to guidance on Slide 7. Given the pending business review, we are not providing full year 2023 earnings guidance. For the third quarter 2023, we expect operating earnings to be between $0.72 and $0.87 per share. Last year's third quarter operating earnings were $1.11 per share.

現在轉向幻燈片 7 的指引。考慮到即將進行的業務審查，我們不提供 2023 年全年盈利指引。 2023 年第三季度，我們預計每股營業收益將在 0.72 美元至 0.87 美元之間。去年第三季度的營業利潤為每股 1.11 美元。

Let me walk through some of the key drivers of this year-over-year change, all of which we've identified previously. First, approximately $0.12 from higher interest expense as a result of higher market rates, approximately $0.09 related to the $350 million rider revenue reduction, which became effective July 1, approximately $0.06 related to the removal of Cove Point from operating earnings effective July 1 due to the sale agreement. About half of that is related to the absence of a $0.03 help this quarter relative to last year from higher variable revenue and other additional services. This number also doesn't capture the impact of expected lower interest expense due to parent debt retirement from sale proceeds later this year, which we estimated approximately $0.05 to $0.06 per share on an annualized basis, approximately $0.04 from the elimination of nonregulated solar investment tax credits and approximately $0.02 from an O&M related to the Millstone fall planned outage.

讓我來介紹一下我們之前已經確定的這一同比變化的一些關鍵驅動因素。首先，約0.12 美元來自較高的市場利率導致的較高利息支出，約0.09 美元與7 月1 日生效的3.5 億美元乘客收入減少有關，約0.06 美元與7 月1 日生效的Cove Point 從營業收入中刪除有關銷售協議。其中大約一半與本季度相對於去年較高的可變收入和其他附加服務缺乏 0.03 美元的幫助有關。這一數字也沒有反映由於今年晚些時候母公司債務從銷售收益中償還而預期利息費用降低的影響，我們估計按年化計算每股約為0.05 至0.06 美元，取消不受監管的太陽能投資稅約為0.04 美元信用額以及來自與 Millstone 秋季計劃停電相關的 O&M 的約 0.02 美元。

Before moving to sales trends, let me emphasize one of our business review priorities: a durable, high-quality and predictable long-term earnings growth profile with consistent execution. We recognize the critical importance of meeting any post-review financial targets even if and when unexpected headwinds occur.

在討論銷售趨勢之前，讓我強調一下我們業務審查的重點之一：持久、高質量和可預測的長期盈利增長狀況以及一致的執行力。我們認識到，即使出現意外的不利因素，實現任何審查後的財務目標也至關重要。

Turning to Slide 8. I'll address electric sales trends. When we announced the review in November, we described the long-term scope and duration of our resiliency and decarbonization capital investment opportunity as very much intact. In May, we discussed PJM's updated electric load projections that forecast some are low growth in the DOM zone of 5% per year for the next 10 years. Those estimates reflect the very robust demand growth we're observing in real-time across our system. Weather-normalized sales in Virginia increased 5% over the last 12 months through June as compared to the prior year. For full year 2023, we expect the growth rate at DEV to be around 5%.

轉向幻燈片 8。我將討論電力銷售趨勢。當我們在 11 月份宣布審查時，我們將我們的彈性和脫碳資本投資機會的長期範圍和持續時間描述為非常完好。 5 月份，我們討論了 PJM 更新後的電力負荷預測，預測未來 10 年 DOM 區域的電力負荷將以每年 5% 的低速增長。這些估計反映了我們在整個系統中實時觀察到的非常強勁的需求增長。截至 6 月份的過去 12 個月中，弗吉尼亞州正常天氣銷售額與去年同期相比增長了 5%。 2023 年全年，我們預計 DEV 的增長率將在 5% 左右。

It's worth noting that just last week, we registered new summer peak demand records on consecutive days. And just as we expect, our customers likely would have no idea given the high-quality operational performance delivered by our colleagues under these demanding load conditions. The unique intersection of industry-leading demand growth and strong policy support for resiliency, decarbonization, affordability and economic growth, combined with the durability of the Virginia regulatory structure represents an unprecedented opportunity for our company, our customers and our capital providers. It will drive growth for many years to come, demand prudent capital allocation and require a strong balance sheet, which brings me to my next topic, credit.

值得注意的是，就在上週，我們連續幾天創下了夏季需求高峰的新紀錄。正如我們所期望的那樣，我們的客戶可能不知道我們的同事在這些苛刻的負載條件下提供了高質量的操作性能。行業領先的需求增長與對彈性、脫碳、可負擔性和經濟增長的強有力政策支持的獨特交集，再加上弗吉尼亞州監管結構的持久性，為我們的公司、我們的客戶和我們的資本提供者帶來了前所未有的機遇。它將推動未來許多年的增長，需要審慎的資本配置，並需要強大的資產負債表，這讓我想到了下一個主題：信貸。

Our commitments and priorities with regard to credit are unchanged. I'll reiterate them here. As we've discussed, despite meaningful qualitative improvement over the last several years, our credit metrics need strengthening. We want to emerge from the review with the ability over time to consistently meet and exceed our downgrade thresholds even during temporary periods of cost or regulatory pressure. As part of the review, we're analyzing the most efficient sources of capital to improve our balance sheet and fund our robust capital investments while seeking to minimize any amount of external equity financing need.

我們在信貸方面的承諾和優先事項沒有改變。我將在這裡重申它們。正如我們所討論的，儘管過去幾年在質量上取得了有意義的進步，但我們的信用指標仍需要加強。我們希望通過審查，即使在臨時的成本或監管壓力期間，也能夠隨著時間的推移始終達到並超過我們的降級閾值。作為審查的一部分，我們正在分析最有效的資本來源，以改善我們的資產負債表並為我們強勁的資本投資提供資金，同時尋求最大限度地減少外部股權融資需求。

As Bob mentioned, the Cove Point transaction was strongly credit accretive, improving consolidated FFO to debt is measured by Moody's by 70 basis points. Post-sale comments by the rating agencies with whom we maintain frequent engagement, highlighted the credit-positive nature of the announcement, but noted as we expected, that additional steps are required to ensure that our metrics sustainably meet and exceed our downgrade thresholds going forward. As it relates to credit, the objective of the business review is to create a robust balance sheet foundation that can both withstand potential temporary headwinds and also sustainably support the significantly elevated levels of regulated capital investment over the next few years.

正如 Bob 提到的，Cove Point 交易具有很強的信用增值作用，穆迪衡量的合併 FFO 債務改善幅度為 70 個基點。我們與之保持頻繁接觸的評級機構的售後評論強調了該公告的信用積極性質，但正如我們所預期的那樣，需要採取額外的措施來確保我們的指標可持續地達到並超過我們的降級閾值。由於與信貸相關，業務審查的目標是建立一個穩健的資產負債表基礎，既能承受潛在的暫時阻力，又能可持續地支持未來幾年受監管資本投資水平的顯著提高。

With that, I'll turn the call back over to Bob.

這樣，我會將電話轉回給鮑勃。

Turning to Slide 9. Let me start by updating you on the implementation of the Virginia rate reform legislation that became effective on July 1. The new Virginia law provides significant bill relief for our customers and supports the long-term stability of our largest utility segment. With nearly unanimous bipartisan support, the legislation provides the certainty we need to fund and execute the critical energy investments that support the robust electrical demand growth in Virginia.

轉向幻燈片9。首先讓我向您介紹7 月1 日生效的弗吉尼亞州費率改革立法的實施情況。新的弗吉尼亞州法律為我們的客戶提供了重大的賬單減免，並支持我們最大的公用事業部門的長期穩定。在兩黨幾乎一致的支持下，該立法為我們提供了資助和執行支持弗吉尼亞州強勁電力需求增長的關鍵能源投資所需的確定性。

As of July 1, the law directly enabled a nearly $14 reduction to the typical Dominion Energy residential customers' monthly bill. Roughly half of this decrease results from the cessation of certain riders that represent approximately $350 million of annual revenues. The other half of the reduction comes from a downward adjustment to the component of electric rates that recovers the cost of power station fuel and purchase power. The commission has allowed this interim adjustment to take effect while it considers the fuel securitization proposal DEV filed on July 3. By arranging for certain unrecovered fuel costs to be paid off over time, securitization would avoid the possible alternative, an abrupt rate increase that would amount to about $15 per month for typical residential customers. We expect a final order by early November.

截至 7 月 1 日，該法律直接使典型 Dominion Energy 住宅客戶的每月賬單減少了近 14 美元。大約一半的下降是由於某些騎手的停止，這些騎手的年收入約為 3.5 億美元。另一半的削減來自電價部分的下調，以收回電站燃料和購電成本。委員會已允許這一臨時調整生效，同時審議DEV 於7 月3 日提交的燃料證券化提案。通過安排隨著時間的推移償還某些未收回的燃料成本，證券化將避免可能的替代方案，即利率突然上漲，從而導致對於典型的住宅客戶來說，每月費用約為 15 美元。我們預計在 11 月初收到最終訂單。

DEV also submitted its biannual review filing on July 3, initiating a review of base rates, which represents about 1/3 of DEV's total rate base. The filing highlights DEV's exceptionally reliable and affordable service. Consider these facts. 99.9% average reliability delivered at rates 22% below the national average. I note our track record of operating efficiently is reflected in our competitive rates, as I mentioned previously. Since 2010, the typical residential bill has grown by only about 1.2% year-over-year, less than half of the 2.6% increase in the general inflation rate. We're proud of our record and the work we do to serve customers every single day. We expect a final order by March 3 of next year.

DEV 還於 7 月 3 日提交了半年一次的審查文件，啟動了對基本費率的審查，該費率約佔 DEV 總費率基數的 1/3。該文件強調了 DEV 極其可靠且價格實惠的服務。考慮這些事實。平均可靠性為 99.9%，比全國平均水平低 22%。我注意到，正如我之前提到的，我們高效運營的記錄反映在我們具有競爭力的價格中。自2010年以來，典型的住宅賬單同比僅增長約1.2%，不到總體通脹率2.6%增幅的一半。我們為我們的記錄以及我們每天為客戶服務所做的工作感到自豪。我們預計將於明年 3 月 3 日收到最終訂單。

Turning to offshore wind on Slide 10. The project remains on time and on budget, consistent with the timelines and estimates previously provided. We continue to work closely with the Bureau of Ocean Energy Management and other stakeholders to support the project's timeline. BOEM received comments from all agencies on the draft of the final EIS and is on schedule to deliver the final EIS by the end of September and the record of decision by the end of October. We continue to be encouraged by the administration's timely processing of offshore wind projects. In July, the SEC approved our updated offshore wind rider. In the application, DEV requested and received an annual revenue requirement of $271 million for jurisdictional customers.

轉向幻燈片 10 上的海上風電。該項目仍按時、按預算進行，與之前提供的時間表和估算一致。我們繼續與海洋能源管理局和其他利益相關者密切合作，以支持該項目的時間表。 BOEM收到了所有機構對最終EIS草案的意見，併計劃在9月底之前交付最終EIS，並在10月底之前提交決定記錄。我們繼續對政府及時處理海上風電項目感到鼓舞。 7 月，美國證券交易委員會批准了我們更新的海上風能騎手。在申請中，DEV 要求並收到了轄區客戶年收入 2.71 億美元的要求。

I'm pleased to update that our current project costs, excluding contingency, are now more than 90% fixed. Our procurement and manufacturing processes are well underway. In fact, we expect the first monopiles to be delivered to the Port of Virginia later this year. Our current contingency reserve is still about equal to our original reserve, despite having progressed the project significantly and fix more costs. Taken together and despite trends we see elsewhere in the offshore wind market, we do not see anything that changes our confidence in delivering the project on time and on budget.

我很高興地告訴您，我們當前的項目成本（不包括意外費用）現在 90% 以上是固定的。我們的採購和製造流程正在順利進行。事實上，我們預計第一批單樁將於今年晚些時候交付到弗吉尼亞港。儘管項目取得了顯著進展並修復了更多成本，但我們目前的應急儲備仍約等於原始儲備。總的來說，儘管我們在海上風電市場的其他地方看到了趨勢，但我們沒有看到任何改變我們按時、按預算交付項目的信心。

Project to date, we've invested approximately $1.7 billion, which we expect to grow to around $3 billion by year-end. As a reminder, we updated our expected LCOE in our most recent regulatory filing to the low end of the $80 to $90 per megawatt range to account for PTC value based on the Inflation Reduction Act. Our Jones Act-compliant installation vessel is currently 74% complete. No change to our expectation of completion well in advance of the need to support the CVOW construction schedule and timely completion by the end of 2026.

迄今為止，我們已對該項目投資了約 17 億美元，預計到年底將增至約 30 億美元。提醒一下，我們在最近的監管文件中將預期的 LCOE 更新為每兆瓦 80 至 90 美元範圍的低端，以考慮基於通貨膨脹減少法案的 PTC 價值。我們符合《瓊斯法案》的安裝船目前已完成 74%。我們對早於支持 CVOW 施工進度並在 2026 年底按時完工的需求的預期沒有變化。

Turning to other notable updates on Slide 11. We've continued to see strong regulatory outcomes related to nuclear life extension, clean energy and grid transformation. On data centers, we continue to advance a series of infrastructure upgrade projects that will enable incremental increases in power for data center customers in Eastern Loudoun County. Four projects have been completed ahead of schedule. An additional project is on schedule to be completed by the end of 2023. We continue to develop a new 500 kV transmission line with an expected in-service date of late 2025. Given the unprecedented growth in areas served by our electric transmission, we continue to see an acceleration of and long-term increase in electric transmission investment opportunity throughout our service area. As such, we recently submitted a significant number of additional projects as part of PJM's transmission planning process that we believe will ensure the electric grid in Virginia is reliable, resilient, and able to adapt to the increasing energy demand while also transitioning to cleaner energy resources.

轉向幻燈片 11 上的其他值得注意的更新。我們繼續看到與核壽命延長、清潔能源和電網轉型相關的強有力的監管成果。在數據中心方面，我們繼續推進一系列基礎設施升級項目，為東勞登縣的數據中心客戶提供逐步增加的電力。四個項目已提前完成。另一個項目按計劃將於 2023 年底完成。我們將繼續開發一條新的 500 kV 輸電線路，預計於 2025 年末投入使用。鑑於我們輸電服務的地區出現前所未有的增長，我們將繼續看到整個服務區域電力傳輸投資機會的加速和長期增長。因此，我們最近提交了大量額外項目，作為 PJM 輸電規劃流程的一部分，我們相信這些項目將確保弗吉尼亞州的電網可靠、有彈性，並能夠適應不斷增長的能源需求，同時過渡到更清潔的能源。

Turning to Dominion Energy South Carolina on Slide 12. In addition to delivering safe and reliable energy, DESC's electric rates for residential customers are 9% below the national average as of July 1. We're proud to meet the energy needs of the robust economic development and population growth in South Carolina. On the regulatory front, we'll complete the testimony and hearings phases in our natural gas general rate case in the next few weeks. We expect an order from the commission by October. Following commission approval of the electric fuel settlement, the annual fuel adjustment was effective in May and is designed to eliminate all previous under collections during this fuel year.

轉向幻燈片 12 上的 Dominion Energy South Carolina。除了提供安全可靠的能源外，截至 7 月 1 日，DESC 為住宅客戶提供的電費比全國平均水平低 9%。我們很自豪能夠滿足強勁經濟的能源需求南卡羅來納州的發展和人口增長。在監管方面，我們將在接下來的幾週內完成天然氣一般費率案件的證詞和聽證會階段。我們預計 10 月份會收到委員會的訂單。在委員會批准電力燃料結算後，年度燃料調整於 5 月生效，旨在消除本燃料年度之前的所有欠收款項。

Finally, at our gas distribution business, strong economic development is driving attractive customer growth year-over-year of 2.4% in North Carolina and 2.3% in Utah. Across all our gas businesses, we continue to see strong support for timely recovery on prudently incurred investments that provide safe, reliable, affordable and increasingly sustainable service, including pipeline replacement efforts and expansion of service to rural communities.

最後，在我們的天然氣分銷業務中，強勁的經濟發展正在推動北卡羅來納州和猶他州的客戶同比增長 2.4% 和 2.3%。在我們所有的天然氣業務中，我們繼續看到對及時恢復審慎投資的大力支持，這些投資提供安全、可靠、負擔得起和日益可持續的服務，包括管道更換工作和擴大對農村社區的服務。

On RNG, we have 6 RNG projects currently injecting gas with 18 other projects in various stages of development.

在 RNG 方面，我們目前有 6 個 RNG 項目正在註入天然氣，還有 18 個其他項目處於不同的開發階段。

With that, let me summarize our remarks on Slide 13. Our safety performance this quarter was outstanding. We reported operating earnings of $0.53 per share. We continue to execute on our decarbonization and resiliency investment programs to meet our customers' needs while creating jobs and spurring new business growth. Our offshore wind project continues to move forward on schedule and on budget, and the business review is proceeding with pace and purpose. I'm focused on ensuring that Dominion Energy is best positioned to create significant long-term value for our shareholders.

接下來，讓我總結一下我們對幻燈片 13 的評論。本季度我們的安全表現非常出色。我們公佈的每股營業收益為 0.53 美元。我們繼續執行脫碳和彈性投資計劃，以滿足客戶的需求，同時創造就業機會並刺激新業務增長。我們的海上風電項目繼續按計劃和預算推進，業務審查正在有節奏、有目標地進行。我致力於確保 Dominion Energy 處於最佳位置，為我們的股東創造顯著的長期價值。

With that, we're ready to take your questions.

這樣，我們就準備好回答您的問題了。

Thank you. At this time, we will open the floor for questions. (Operator Instructions) Our first question comes from Shahriar Pourreza with Guggenheim Partners.

謝謝。現在，我們將開始提問。 （操作員說明）我們的第一個問題來自 Guggenheim Partners 的 Shahriar Pourreza。

Bob, just as one of my favorite questions to ask you is, obviously, as we're getting closer to the Investor Day, I guess, is there any changes to your expectations for kind of this turnkey event now that you sold Cove or could there still be some contingencies on potential ongoing sale processes? So will all of our questions be answered as we think about the balance sheet-based earnings growth rate, et cetera, as we head into that event?

鮑勃，就像我最喜歡問你的問題之一一樣，顯然，隨著我們越來越接近投資者日，我想，既然你賣掉了Cove 或可以，你對這種交鑰匙活動的期望是否有任何變化？潛在的持續銷售流程中是否還存在一些意外情況？那麼，當我們進入這一事件時，當我們思考基於資產負債表的盈利增長率等時，我們所有的問題都會得到解答嗎？

Yes, no change, Shar, and we would expect your questions to be answered. As we've said, our objective is to eliminate as many input variables as possible by the time we get to that Investor Day and we're on track to do that, so no change.

是的，沒有變化，莎爾，我們希望您的問題能夠得到解答。正如我們所說，我們的目標是在投資者日之前消除盡可能多的輸入變量，並且我們正在努力做到這一點，所以沒有改變。

Okay. Good. And then it's good to see on the offshore when you guys have locked in additional costs there. And I don't mean to ask one question like this, but I might as well. But can you just tell us if you had any interest in the wind stake option at all at this point, just given what we've been seeing around?

好的。好的。當你們鎖定了海上的額外成本時，很高興看到海上的情況。我並不是想問這樣的問題，但我也不妨問一下。但是，考慮到我們所看到的情況，您能否告訴我們您目前是否對風電股權選項感興趣？

Yes, Shar, as we've said throughout the business review, we're reviewing from top to bottom, taking a look at everything in the business. By statute, there is an option for us related to offshore wind, and we're reviewing that as part of the business review, but I can't update you anymore on it.

是的，Shar，正如我們在整個業務審查中所說的那樣，我們正在從上到下進行審查，審視業務中的一切。根據法規，我們有一個與海上風電相關的選擇，我們正在審查這一點，作為業務審查的一部分，但我無法再向您通報最新情況。

Okay. Okay. And then just lastly, one of the Millstone units, obviously heading for another outage this fall. I mean can you just talk about sort of talk to the quantum of like that O&M there? And it seems like there's been some issues with the units this year. Is there any kind of major capital investments you may be facing there?

好的。好的。最後，其中一個磨石機組顯然將在今年秋天再次停電。我的意思是，您能談談那裡的運維工作嗎？今年的單位似乎出現了一些問題。您在那裡可能面臨任何類型的重大資本投資嗎？

Shar, this is Steve. I'll take -- with regard to the fall outage I mentioned, we'll see about $0.02 of that hurt in Q3 and the remainder of that hurt in Q4. It's fairly standard. Think about a typical planned outage is about a $50 million O&M hurt given how we accelerate that work during that time period. And then, of course, on top of that, there's lost margin from the unit not actually producing electricity to sale. But there's nothing unusual about the planned outage in the fourth quarter.

莎爾，這是史蒂夫。我認為，關於我提到的秋季停電，我們將在第三季度看到大約 0.02 美元的損失，並在第四季度看到其餘的損失。這是相當標準的。考慮到我們在這段時間內如何加速這項工作，一次典型的計劃內停機大約會造成 5000 萬美元的運維損失。當然，除此之外，該單位實際上並未生產電力進行銷售，從而導致利潤損失。但第四季度計劃的停電並沒有什麼異常。

I mentioned the performance of Millstone in the second quarter is very uncharacteristic and it was something we're taking very, very seriously, as I mentioned in the prepared remarks. Those units will continue to operate at very high reliability going forward. There was no fundamental issue that we discovered that we expect is going to require massive amounts of capital investment going forward to remediate going forward.

我提到 Millstone 第二季度的表現非常反常，正如我在準備好的發言中提到的那樣，我們正在非常非常認真地對待這一問題。這些裝置今後將繼續以非常高的可靠性運行。我們沒有發現任何根本性問題，我們預計未來需要大量的資本投資來修復。

And our next question comes from Jeremy Tonet with JPMorgan.

我們的下一個問題來自摩根大通的 Jeremy Tonet。

I was just wondering if you could help me out a bit with, I guess, earnings trajectory for the business overall. If we look at kind of year-to-date results in 3Q guide, and the 4Q is flat year-over-year. It seems like it's down a bit year-over-year. And so just wondering if you could share any other thoughts as far as trajectory and what could revert next year to '24?

我只是想知道你是否可以幫助我了解整個業務的盈利軌跡。如果我們看一下第三季度指南中今年迄今為止的結果，第四季度與去年同期持平。好像比去年同期下降了一些。所以只是想知道你是否可以分享關於軌蹟的任何其他想法以及明年什麼可以恢復到“24”？

Jeremy, it's Steve. That's a really good question. Thanks for that. So let me start with this. At the Investor Day, which we intend to have in the third quarter, we're going to provide very clear direction on our company's post-review earnings and earnings growth outlook, including a buildup of the parts to that consolidated forecast. I would just say that 2023 is very much a transition year for us, and I understand that does make it more challenging to model.

傑里米，是史蒂夫。這是一個非常好的問題。感謝那。那麼讓我從這個開始吧。在我們計劃在第三季度舉行的投資者日上，我們將就公司的審查後收益和收益增長前景提供非常明確的方向，包括綜合預測的各個部分。我只想說，2023 年對我們來說是一個過渡年，我知道這確實讓建模變得更具挑戰性。

But since the initiation of the review, I think we've tried to be very transparent as we've delivered results around key drivers that are going to impact 2023 results, including the DEV rider roll-in and interest expense. And we don't see those major categories have changed much. So we haven't given full year guidance, as we mentioned. But I would say we're cognizant of the investment community's interest in what the earnings potential of the company is going to be. And the good news is that we're going to be very comprehensive in how we address that as part of the Investor Day.

但自審查開始以來，我認為我們一直在努力做到非常透明，因為我們已經圍繞將影響 2023 年業績的關鍵驅動因素提供了結果，包括 DEV 乘客滾入和利息費用。我們沒有看到這些主要類別發生了太大變化。因此，正如我們提到的，我們沒有給出全年指導。但我想說，我們認識到投資界對公司盈利潛力的興趣。好消息是，作為投資者日的一部分，我們將非常全面地解決這個問題。

Got it. Makes sense. We will stay tuned for that. Maybe looking in the rearview at this point, if you're able to offer more commentary in Virginia now with being approved. What is the reaction from regulators and stakeholders been to the DEV rate reduction there? Just trying to get a temperature check on everything in Virginia.

知道了。說得通。我們將對此保持關注。如果您現在能夠在弗吉尼亞州獲得批准後提供更多評論，也許現在可以回顧一下。監管機構和利益相關者對 DEV 利率降低有何反應？只是想對弗吉尼亞州的一切進行溫度檢查。

As you would expect, people are pretty positive about a rate reduction. I think that if you look at the history of our regulatory outcomes in Virginia over the last few years, you see approval of the variety of new clean energy programs, approval of subsequent license renewal investment, approval of transmission projects. We've, I believe, worked well with stakeholders in the regulatory process and achieved strong outcomes. And I think if you look at the big picture, as we mentioned in our prepared remarks, our reliability is high. Our rates are competitive, substantially below the national average. That's a very good place to be when you're in front of your regulators.

正如您所料，人們對降息非常樂觀。我認為，如果你看看過去幾年弗吉尼亞州監管成果的歷史，你會看到各種新的清潔能源計劃的批准、後續許可證更新投資的批准、輸電項目的批准。我相信，我們在監管過程中與利益相關者合作良好，並取得了良好的成果。我認為，如果你從大局來看，正如我們在準備好的發言中提到的那樣，我們的可靠性很高。我們的費率具有競爭力，遠低於全國平均水平。當您面對監管機構時，這是一個非常好的地方。

And our next question comes from Carly Davenport with Goldman Sachs.

我們的下一個問題來自高盛的卡莉·達文波特。

I wanted to just start off on the demand side. Do you feel like PJM's peak forecast kind of accurately capture the growth that you're seeing in Virginia? And maybe how do you think about that in the context of your forecast for electric sales growth in Virginia going forward? It seems like it's pretty in line for 2023, but just kind of as you think about 2024 and beyond.

我想從需求方面開始。您覺得 PJM 的峰值預測是否準確地反映了您在弗吉尼亞州看到的增長情況？也許您在預測弗吉尼亞州未來電力銷售增長的背景下如何看待這一點？看起來這與 2023 年的情況相當相符，但也與你對 2024 年及以後的情況的看法差不多。

We've spent a lot of time talking to PJM over the last few years on what we were seeing in terms of data centers. And we believe that is reflected in their most recent sales forecast, which is robust, but we're seeing robust interest. And as we described in our prepared remarks, we're seeing strong demand growth this year in line with what we would expect over the course of the next few years. There's just no evidence that we can see that this kind of growth is abating, more and more interest from data center customers in our service territory. And so I would say the PJM forecast is pretty reflective of what we expect the future will look like.

過去幾年，我們花了很多時間與 PJM 討論我們在數據中心方面的所見所聞。我們相信這反映在他們最近的銷售預測中，該預測很強勁，但我們看到了濃厚的興趣。正如我們在準備好的發言中所描述的那樣，我們看到今年的需求強勁增長，這與我們對未來幾年的預期一致。只是沒有證據表明我們可以看到這種增長正在減弱，數據中心客戶對我們的服務領域越來越感興趣。因此，我想說 PJM 的預測非常準確地反映了我們對未來的預期。

Great. That's helpful. And then maybe just a follow-up, kind of appreciate all the updates that you provided on Virginia. And I just wanted to touch on the nuclear life extension program. Can you just talk about kind of what investments are included in that initial $1.2 billion? And then what other potential phases of that program could look like?

偉大的。這很有幫助。然後也許只是一個後續行動，感謝您提供的有關弗吉尼亞州的所有更新。我只想談談核壽命延長計劃。您能否簡單談談最初的 12 億美元中包含哪些投資？那麼該計劃的其他潛在階段可能是什麼樣子？

Yes. So the overall investment, we expect to be $4 billion, and it is a variety of programs. A chunk of what's in that early $1.2 billion, for example, is we have a lot of big piping at our stations that we've put a sort of carbon fiber inlay in that will allow them to be quite reliable for many, many years. There are host of other projects, large and small, that will be included in that $4 billion but will put us in a strong position to be able to operate at North Ana and at Surry for an additional 20 years. We can give you some more specific detail post-call if you're looking for, we've got that in the filings.

是的。因此，我們預計總投資為 40 億美元，並且有多種計劃。例如，這早期的 12 億美元中的一大部分是我們的車站有很多大型管道，我們在其中放置了一種碳纖維鑲嵌物，這將使它們在很多年裡都非常可靠。這 40 億美元中還包括許多大大小小的其他項目，但這些項目將使我們處於有利地位，能夠在北安娜和薩里再運營 20 年。如果您需要的話，我們可以在電話後為您提供一些更具體的詳細信息，我們在文件中已經提供了這些信息。

Thank you. This does conclude this morning's conference call. You may now disconnect your lines, and enjoy your day.

謝謝。今天上午的電話會議到此結束。您現在可以斷開線路，享受美好的一天。