NextEra Energy Resources has acquired a 49% stake in the Energy Pathway natural gas pipeline project in Florida, being developed by Chesapeake Utilities subsidiary Peninsula Pipeline Holdings, it is reported. The announcement was made on September 1, 2026.
The project involves building a new 24-inch-diameter intrastate natural gas transmission pipeline from Palm Beach County to Miami-Dade County in Florida. Peninsula Pipeline Holdings will reportedly retain a 51% stake and serve as the construction and operating entity, with NextEra Energy Resources joining as a new partner holding a 49% stake.
Total investment is reported at approximately $1.2 billion, with the pipeline having a 24-inch diameter. The route runs from Palm Beach County to Miami-Dade County, with construction targeted to begin in the first half of 2028 and commissioning targeted for 2030. The announcement was made on September 1, 2026.
Southeast Florida is a region where power and gas demand has been steadily growing due to population growth and expansion of data centers and industrial facilities, and this pipeline project is reportedly aimed at expanding natural gas supply infrastructure to serve this region.
NextEra Energy Resources, a major power generation company, taking an equity stake in a gas utility subsidiary’s pipeline project can be seen as an example of power generators pursuing vertical integration to directly secure the stability of their gas supply chain. While a 24-inch-diameter intrastate pipeline represents a relatively mid-sized infrastructure investment, the $1.2 billion investment figure is substantial for a US intrastate gas infrastructure project, underscoring the rapid pace of gas demand growth in southeast Florida. The structure in which an existing utility operator (Chesapeake Utilities) retains a majority stake while bringing in a major power generator as a minority partner illustrates a typical financing approach used by mid-sized utility companies to spread the capital burden of large infrastructure projects. The trend of surging power demand — including from data centers — in the US Southeast being accompanied by growing investment in supporting gas supply infrastructure suggests similar pipeline investments could follow in other high-growth US regions. The relatively long timeline of construction starting in 2028 and commissioning in 2030 reflects the typical development period for US pipeline projects, which involve extensive permitting and environmental impact review processes.
Whether construction, targeted for the first half of 2028, proceeds as planned following the permitting process is the first point to confirm. How the gas supplied through this pipeline will specifically be allocated among end users — power plants, industrial facilities, residential customers and others — is also worth watching. In addition, whether NextEra Energy Resources will expand its equity investments into other regional gas infrastructure projects following this deal, and how power and gas demand growth in southeast Florida evolves over the next several years, also bear watching.