Greg Abel: Committed to complying with federal and state fossil fuel regulations

Summary

Greg Abel, CEO of Berkshire Hathaway, answers a student's question about the company's continued investment in fossil fuels. He explains that Berkshire's utilities comply with federal and state laws, and that the pace of retiring coal and gas plants is driven by state policy and regulatory processes. Abel highlights that Iowa's utility already gets 93% of its energy from renewables, but coal and gas remain necessary for grid stability. He also warns that rising demand from hyperscalers and data centers will increase carbon-based generation. On the insurance side, Abel notes that current market conditions make writing data center coverage unattractive, but opportunities may emerge in a few years as demand grows.

• Greg Abel defends Berkshire's utility fossil fuel investments as legally compliant and state-policy-driven.
• Iowa utility achieves 93% renewable energy but retains coal and gas for system protection and peak demand.
• State regulatory processes, not Berkshire alone, determine retirement schedules for coal and gas units.
• Hyperscaler and data center load growth will pressure the grid and increase carbon-based generation.
• Insurance supply for data centers currently exceeds demand, making underwriting unattractive for now.
• Abel expects the data center insurance market to become more favorable in the next few years.