Evergy has increased its five-year capital spending plan by 24%, raising total planned investment to $21.6 billion. The expansion reflects growing infrastructure requirements linked to new generation projects, data center demand and rising reserve margin obligations within the regional power system.
During its fourth-quarter earnings call, company officials confirmed that February agreements for electric service total 1.9 gigawatts with major technology customers, including Google, Meta and Beale Infrastructure. Additional contracts are expected later in the year as negotiations with large data center operators continue.
A significant portion of the capital programme focuses on generation investment. Evergy plans to build nearly 1.9 GW of gas-fired capacity in Missouri and Kansas at an estimated cost of $4 billion, alongside 325 MW of solar generation valued at approximately $570 million. These projects were approved by state utility regulators in July and are intended to strengthen system reliability while supporting rising electricity demand.
Company leadership emphasised the importance of capacity expansion in response to higher generation reserve margin requirements within the Southwest Power Pool, the regional grid operator. Additional proposals under evaluation include a further 1.9 GW of gas-fired generation and 200 MW of battery storage.
The expanded investment strategy is expected to support 11.5% annual rate base growth through 2030, an increase from the previous forecast of 8.5%. Management noted that higher capital expenditure coincides with stronger load growth, enabling costs to be distributed across greater electricity sales volumes.
Retail demand projections now anticipate 6% annual growth through 2030, reflecting the addition of large data center customers and continued expansion of industrial loads such as the battery manufacturing facility operated by Panasonic Corporation in Kansas. Weather-normalised sales grew modestly in the previous year but are forecast to accelerate to 3–4% growth in the current period.
Despite rising investment, Evergy expects rate increases to remain at or below inflation for most residential customers. Management highlighted that infrastructure upgrades and new customer loads are expected to support long-term system efficiency by spreading fixed costs across a larger consumption base.
The utility reported 2025 net income of $855.6 million, a 2% decline from the prior year, driven by higher operating expenses, depreciation and interest costs, along with investment losses and reduced insurance proceeds. Nevertheless, the capital expansion plan reflects confidence in sustained demand growth and the strategic importance of generation assets in an evolving energy landscape.
