CenterPoint Energy 2007 Annual Report Download - page 11

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OUR ELECTRIC TRANSMISSION AND DISTRIBUTION (T&D) BUSINESS REPORTED
operating income of $561 million, (consisting of $400 million from the T&D utility,
$42 million from the competition transition charge and $119 million related to
transition bonds), a result of adding more than 53,000 customers and improving
operating efficiency, which helped offset the impact of lower rates. 2007 marked
the eleventh consecutive year of customer growth in excess of 2 percent, a trend
we expect to continue.
Meeting Houston’s growing electric demand as well as maintaining our existing
assets requires large capital investments. The Hillje project, a 68-mile, 345 kilovolt
transmission line and switching station that improved power flow into the Houston
area, was completed in July 2007. We invested $401 million in infrastructure last year
and plan to invest an additional $2 billion over the next five years.
We are also considering further investments in advanced meters and intelligent grid
infrastructure. A successful pilot project involving the deployment and operation of
10,000 advanced meters demonstrated the capability of a new generation of smart meters
and broadband over power line technology to provide two-way communication.
Our operational performance on cost and reliability measures, when compared
to similar utilities, was rated top-quartile in both the Southern Company Survey and
the PA Consulting Group report. Additionally, we received the Edison Electric Institute
2007 Emergency Assistance Award for providing outstanding storm recovery assistance
to utilities in Chicago, Illinois, Dallas and Beaumont, Texas, and Tulsa, Oklahoma.
Energy powers homes,
schools and businesses
and empowers people.