Berkshire Hathaway’s Energy Companies- Berkshire Hathaway Inc. is a holding company owning subsidiaries engaged in numerous diverse business activities. this company was founded by Oliver Chace in 1839 on Cumberland, Rhode Island, U.S. in the beginning, this company engaged in the field of textile manufacturing company, but they suffered a general decline in their business.
Warren Buffet later takes over this company and make this company as holding company that has numerous businesses. With the help of Charlie Munger as Vice Chairman of Berkshire, Warren Buffet developed the Berkshire Hathaway as giant companies. Basically, until now, this company has miscellaneous companies from diverse sectors including insurance, rail transportation business, utility, energy generation and distribution businesses. Nowadays, Berkshires Hathaway is one of the biggest companies in the World with total assets around 958 billion US Dollars with Liabilities around 443 billion US Dollars as of 2021. Based on the business performance in Annual Report on 2021, Berkshire Hathaway can generate revenue around 276 billion US Dollars with Net Income around 90 billion US Dollars.
From all over the diverse business, Berkshire Hathaway has some energy companies. Based Berkshire Hathaway annual report in 2021, Energy sector business can contribute revenue around 18,935 million US Dollars with recorded net earnings attributable to Berkshire Hathaway Energy around 3,962 million US Dollars. Maybe some of us in the USA knows this companies. Berkshire Hathaway fully owned these energy companies. Here are Berkshire Hathaway’s Energy Companies.
Brief Descriptions of Berkshire Hathaway’s Energy Companies
1.PacifiCorp
PacifiCorp is an electric power company that has main office in Portland Oregon, USA and this company was founded in 1910. Based on business, this company has 2 main unit business including Pacific Power (regulated electric utility with service locations throughout Oregon, northern California, and southeastern Washington) and Rocky Mountain Power (a regulated electric utility with service locations throughout Utah, Wyoming, and southeastern Idaho). Along with business development, PacifiCorp has employee around 4,783 and served electric customers in portions of Utah, Oregon, Wyoming, Washington, Idaho and California. In 2005, Berkshire Hathaway has bought PacificCorp with investment cost around $5.1 billion.
2.MidAmerican Energy
MidAmerican Energy Company is a regulated electric and natural gas utility company headquartered in Iowa, serving electric and natural gas customers mainly in Iowa and also in portions of Illinois, South Dakota and Nebraska. Historically this company was founded in 1995 with the merger of the merger of the Iowa-Illinois Gas and Electric Company. Along with business development, this company has employed around 3,427 people. In 1999, Berkshire Hathaway bought MidAmerican Energy Holdings Co. with investment cost around $2.15 billion.
3.NV Energy
NV Energy, Inc. (“NV Energy”) is an energy holding company headquartered in Nevada that consist of two regulated utility subsidiaries, Nevada Power Company (“Nevada Power”) and Sierra Pacific Power Company (“Sierra Pacific”). Historically, NV Energy was formed in 1998 with the merger between two major utilities, namely Sierra Pacific Power, based in Reno, and Nevada Power. Nevada Power serves retail electric customers in southern Nevada and Sierra Pacific serves retail electric and natural gas customers in northern Nevada. Along with business development, this company has employed around 2,273 people. In 2013, Berkshire Hathaway acquired NV Energy with cost around $5.6 billion.
4.Northern Powergrid
Northern PowerGrid Holdings Company is an electrical distribution company-based Newcastle Upon Tyne, UK. Operationally, this company covers its service in of 25,000 square kilometres, Northern PowerGrid’s network extends from north Northumberland, south to the Humber and northern Lincolnshire, and from the east coast to the Pennines. Along with business developments, this company has employed around 2,527 of people.
5. Berkshire Hathaway Energy Company (BHE) Pipeline Group
Berkshire Hathaway Energy Pipeline Group consist of Kern River Gas Transmission Company, headquartered in Salt Lake City, UT, and Northern Natural Gas, headquartered in Omaha, NE. Northern Natural operates the largest interstate natural gas pipeline system in the United States, reaching from west Texas to Michigan’s Upper Peninsula. Meanwhile, Kern River operates an interstate natural gas pipeline system that consists of approximately 1,400 miles and extends from supply areas in the Rocky Mountains to their customers in Utah, Nevada, and California. Along with business development, BHE Pipeline Group has employed around 2,692 of people.
6. Berkshire Hathaway Energy Company (BHE) Transmission
BHE Transmission basically was formed in 2002. This consolidated group consist of some companies, including Midwest Power Transmission Iowa, BHE America Transco, BHE Midcontinent Transmission Holdings, California Utility Holco, LLC, BHE Southwest Transmission Holdings, BHE Texas Transco, Montana ALberta Tie US Holdings, and MTL Canyon Holdings. Based on business performance, all of this companies have employed around 726 of people.
7. Berkshire Hathaway Energy Company (BHE) Renewables
BHE Renewables develops, owns and operates solar, wind, geothermal and hydroelectric projects that produce energy for both the wholesale market and for customers under long-term power agreements. BHE Renewables basically own interests in independent power projects having approximately 4,900 net megawatts of generation capacity that are in service in California, Texas, Illinois, Nebraska, New York, Arizona, Minnesota, Kansas, Iowa and Hawaii. Based on the business development, BHE renewables have 345 of employees.
8.MidAmerican Energy Services
MidAmerican Energy Services is a company in production of energy. from diversified fuel sources including geothermal, natural gas, hydroelectric, nuclear, coal, and wind, as well as the supply and distribution of energy to customers in the United States and the United Kingdom. Basically, this company has 75 of employees.
9. AltaLink, L.P
AltaLink is Alberta’s largest regulated electricity transmission company. the altalink provides electric transmission that connects homes, farms, businesses and industries to the electricity generated across Alberta. In 2014, Berkshire Hathaway Energy (BHE) acquired AltaLink, L.P for C$3.1 billion (approximately US$2.7 billion) in cash.
Bibliography of Berkshire Hathaway’s Energy Companies
Berkshire Hathaway. 2022. Annual Report 2021. Accessed via https://www.berkshirehathaway.com/reports.html on May 24th, 2023.
PacifiCorp. 2022. Accessed via https://www.pacificorp.com on May 24th, 2023.
MidAmerican Energy. 2022. Accessed via https://www.midamericanenergy.com/ on May 24th, 2023.
NV Energy. 2022. Accessed via http://nvenergy.com/ on May 24th, 2023.
Northern Powergrid. 2022. Accessed via https://northernpowergrid.com/ on May 24th, 2023.
AltaLink, L.P. 2022. Accessed via https://www.altalink.ca/ on May 24th, 2023.