The SunZia HVDC Project is a landmark 3,000 MW transmission system connecting renewable energy resources in New Mexico and Arizona to demand centers in Arizona and California. It is one of the largest HVDC projects currently under construction in the United States and a cornerstone for integrating Southwestern wind and solar power into the western U.S. grid.
The project is strategically important because it enables the export of clean energy from resource-rich but sparsely populated regions to urban load centers, directly supporting U.S. decarbonization goals.
Project Facts Table
| Attribute | Details |
|---|---|
| Length | ~550 miles (~885 km) |
| Capacity | 3,000 MW |
| Voltage | ±525 kV HVDC |
| Investment Size | ~$8–10 billion (including transmission + renewables buildout) |
| Companies | Hitachi Energy (TYO: 6501), Quanta Services (NYSE: PWR) |
| Status (2025) | Under construction |
| Expected Completion | 2026–2027 |
Background
- Location: Transmission line runs from central New Mexico through Arizona, connecting to the California Independent System Operator (CAISO) grid.
- Ownership: Developed by Pattern Energy, a U.S.-based renewable energy company (privately held, owned by Canada Pension Plan Investment Board).
- Purpose: Deliver clean wind and solar power (Pattern’s 3.5 GW generation portfolio in NM) to major demand markets in the U.S. Southwest and California.
- Strategic significance: Largest renewable-linked HVDC project in North America, unlocking massive renewable potential in the region.
Investor Angle
Although the project itself is privately developed, several listed companies benefit:
- Hitachi Energy (TYO: 6501): Supplying HVDC converter stations.
- Quanta Services (NYSE: PWR): Leading U.S. contractor for power infrastructure construction.
Why it matters for investors:
- Demonstrates U.S. commitment to large-scale HVDC as part of the energy transition.
- Expands orderbooks for Hitachi Energy, the global HVDC leader.
- Strengthens Quanta Services’ role as a critical U.S. infrastructure builder with exposure to transmission and renewables.
FAQ
Q: What is the SunZia HVDC Project?
It is a 3,000 MW HVDC transmission line under construction in the U.S. Southwest, connecting New Mexico renewable resources to California demand centers.
Q: When will the SunZia project be completed?
Expected completion is between 2026 and 2027.
Q: Why is SunZia important?
It is the largest renewable-linked HVDC project in North America, enabling large-scale solar and wind integration.
Q: Which companies are involved?
Hitachi Energy (converter stations) and Quanta Services (construction).
Q: Can investors gain exposure to SunZia?
Not directly, as the project is privately owned. However, Hitachi (TYO: 6501) and Quanta Services (NYSE: PWR) are listed suppliers benefiting from the project.