APS 2011 Annual Report Download - page 6

PINNACLE WEST CAPITAL CORPORATION
APS RANKED FOURTH AMONG 55 LARGE
INVESTOR-OWNED ELECTRIC UTILITIES
IN THE 2011 J.D. POWER CUSTOMER
SATISFACTION S U RVE Y.
Part of providing great service includes assisting customers with the expanding options for managing
their home energy use. In 2011, we helped APS customers take actions that collectively saved 440,000
megawatt-hours of electricity. Our performance earned the U.S. Environmental Protection Agency’s
highest honor for continued ENERGY STAR leadership for the third year in a row. As customer interest
in residential solar energy continued to grow, more customers took advantage of APS incentives to
install solar panels on their homes and businesses in 2011 than in any prior year.
Power generation achieved a milestone year as well. The Palo Verde Nuclear Generating Station reached
its 20th consecutive year as the largest power producer in the United States. Our fossil-fueled generation
fleet also had another solid year. The fleet achieved a commercial availability factor (available to run when
commercially viable to do so) exceeding 90 percent.
Our company receives numerous honors for sustainable business practices. We regard as especially
meaningful Corporate Responsibility Magazine’s recognition of Pinnacle West as the top-ranked U.S.
electric utility on its list of “100 Best Corporate Citizens.”
Employee safety is another area in which we achieved all-time best performance, reducing on-the-job
injuries by 15 percent compared with 2010. Safety performance has improved in each of the last four
years and now ranks in the top quartile of our industry.
INVEST WIS E LY FOR THE F UTURE
In last year’s annual report, I highlighted our plans to purchase Southern California Edison’s share of the
APS-operated Four Corners Power Plant, invest $300 million in new environmental controls for the two
newest, most ecient units and shut down the three oldest units. Our plan would protect a major source
of aordable electricity for APS customers, preserve jobs on the Navajo Nation where the plant is located
and significantly reduce carbon emissions. We achieved a milestone in 2011 when the Navajo Nation
Council approved a 25-year lease extension for the plant. Much work remains, including authorization
from the Arizona Corporation Commission (ACC) and the negotiation of a new coal contract for the plant.
4 / LETTER TO SHAREHOLDERS