The San Francisco Public Utilities Commission's 10-year capital plan, adopted on February 10, 2026, gives Hetch Hetchy Power US$2,242.7 million, up 81.6% from US$1,234.8 million in the previous plan. Electricity is now the growth side of the utility. Over the same comparison, the Water Enterprise plan fell 15.4%, from US$2,954.8 million to US$2,498.8 million.
Substations before generation
Most of the new power money goes to wires, not power plants. About US$1.5 billion is earmarked for transmission and distribution, including new Spear Street, Large Load and Westside substations and grid links for City facilities and development sites. Renewable and distributed generation receives US$10.0 million, and energy efficiency in City buildings US$15.0 million.
Steam and solar
With Cordia, operator of the downtown steam loop, SFPUC plans a new 115 kV interconnection so steam can be produced with greenhouse gas-free Hetch Hetchy electricity instead of natural gas. CleanPowerSF separately plans US$36.9 million of solar and battery storage on SFPUC sites, funded from revenues rather than debt and concentrated in FY2034-35 and FY2035-36.
A bigger utility, if regulators agree
The plan treats public power as the growth side of the business. The City's effort to acquire PG&E's local distribution assets is at the California Public Utilities Commission's valuation stage. Hetch Hetchy Power counts 8,000 ratepayers in the February 2026 financial plan, while an SFPUC news article gives more than 6,300 accounts.
What the report adds
Whether the grid program can hold its schedule, how it sits beside a US$1,470.3 million nutrient removal project and rising sewer rates, and what the leadership change in December 2026 means for both are set out in the full report. The full report, Water Utility of the Future: San Francisco Public Utilities Commission, is available for USD 499. For a free overview, read the San Francisco Public Utilities Commission Utility Snapshot.