grid boost

Houston energy company to invest $1B in U.S. electric grid manufacturing

Hitachi Energy will build a new power transformer factory and plans to manufacture infrastructure for the U.S. electric grid. Photo courtesy Hitachi Energy.

Hitachi Energy, whose U.S. headquarters is in Houston, has earmarked more than $1 billion to manufacture infrastructure for the U.S. electric grid, which is coping with greater power demand from data centers and AI platforms.

Of that sum, $457 million is dedicated to building a power transformer factory in Virginia. Hitachi Energy said it’ll be the largest facility of its kind in the U.S.

“Power transformers are a linchpin technology for a robust and reliable electric grid and winning the AI race. Bringing production of large power transformers to the U.S. is critical to building a strong domestic supply chain for the U.S. economy and reducing production bottlenecks, which is essential as demand for these transformers across the economy is surging,” said Andreas Schierenbeck, CEO of Switzerland-based Hitachi Energy, which generates revenue of about $16 billion.

The Hitachi announcement aligns with various priorities of the Trump administration. The White House is promoting more U.S.-based manufacturing, more power to accommodate data centers and AI, and greater use of U.S. energy resources.

“If we are going to win the AI race, reindustrialize, and keep the lights on, America is going to need a lot more reliable energy,” U.S. Energy Secretary Chris Wright said.

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A View From HETI

Photo by NASA on Unsplash

Amid a major spinoff, Houston-based KBR's Mission Technology Solutions business has been awarded a five-year contract for up to $1.1 billion from NOAA’s National Weather Service to help predict and combat extreme weather conditions.

Under the follow-on Commercial Data Program National Mesonet Program (CDP NMP) contract, KBR will provide weather and observational data from commercial stations, university and research campuses, and other non-federal providers nationwide. The information collected will assist in predicting severe temperatures and high-impact weather conditions like extreme storms.

"This award underscores KBR's proven track record of delivering vital data that strengthens national forecasting capabilities," Todd May, KBR’s senior vice president of Mission Technology Solutions, said in a news release.

According to a separate release from NOAA, the contract expands upon KBR's existing relationship with the agency. KBR will work with about 70 private industry partners on services such as data recording, collection, aggregation and processing, and will lead the CDP NMP's "network of networks."

“NOAA gathers environmental information from a wide variety of sources, and a growing list of private industry partners have joined our agency to collect this vital data,” Ken Graham, director of NOAA’s National Weather Service, said in the release. “This agreement streamlines the process that turns raw data into the gold-standard forecasts that Americans depend on.”

KBR will utilize its Speed to Mission ImpactSM technology for the project to supply data from across regions, measurement types, and system configurations. Both KBR and NOAA say the expanded data collection contract will help the agency create more accurate and timely forecasts, particularly for severe weather and extreme events, while also creating a path for new weather-observation technologies.

KBR has supported the CDP NMP for more than nine years. The program will be managed in Greenbelt, Maryland.

"We're driving expanded integration of commercial sensor and data sources into this platform and are honored to know our work helps forecasters give their communities earlier warnings and more time to prepare for dangerous weather,” May added in a release.

KBR’s Mission Technology Solutions business will be rebranded as Trinzic after its planned spin-off, the company announced last month. The spin-off is expected to close in January 2027.

Trinzic will work as an independent, publicly traded company focused on technology and engineering services for the space and national security sector. KBR will remain a separate publicly traded company that will focus on sustainable technology and services to support the energy transition.

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This article originally appeared on InnovationMap.com.

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