| Challenge |
Goal |
2008 Progress |
| Achieving environmental compliance, improving incident response and fostering positive regulatory relationships to enhance our environmental performance in an environment of complex regulations. |
Zero enforcement actions.
ISO 14001:
Complete phase-in to conform to ISO 14001 standards by end of 2012 in all fossil and hydro power plants. Target in 2009 — four fossil plants begin implementation.
Continue proactive outreach with regulatory agencies.
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Number of enforcement actions:
2008 — 1
2007 — 2
2006 — 9
2005 — 5
ISO 14001:
Phase I completed at 36 power plants, including 17 hydro facilities.
Ongoing outreach with regulators.
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To assess compliance and improve performance,
we track measures of air quality, water quality and waste management through an internal Environmental Performance Index (EPI). Performance is tied to compensation. The EPI sets a more stringent annual target of total number of incidents for
the index. |
2009 EPI goal = 10 or fewer incidents at generating units:
- Opacity – measure of visual appearance of
gas exiting power plant stack and is a rough indicator of particulate emissions.
- NPDES (National Pollutant Discharge
Elimination System) permit requirements (wastewater exceptions) – a measure of water quality permit compliance.
- Oil and chemical spills – a measure of how
we respond to and manage spills.
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EPI set a 2008 target of 12 or fewer incidents; 10 occurred:
Opacity exceedances– 2 (2007 - 1; 2006 - 0)
NPDES – 5 (2007 – 7; 2006 – 9)
Oil & chemical spills – 5 (2007 - 3; 2006 - 0)
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AEP’s biodiversity impacts, both positive and negative, need to be understood, prioritized and managed.
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Utilize the WBCSD’s Business and Biodiversity: The Handbook for Corporate Action as a tool to assess AEP’s impacts or potential impacts on biodiversity and ultimately develop a biodiversity strategy and action plan.
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N/A (New Goal)
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AEP’s environmental compliance requirements drive
a $5.2 billion program to install environmental controls on coal-fired power plants to meet requirements of the Clean Air Act and EPA’s NOx State Implementation Plan rule and initial requirements of the CAIR.
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Ensure company is fully equipped and prepared to comply with increasingly stringent regulations.
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Completed more than two-thirds of program. Scrubbers brought online at two coal units in 2008; four others under construction.
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The availability of water to make electricity and meet society's needs is increasingly important because of impacts from climate change and population growth.
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Initiate a study to review consumption patterns and identify opportunities to set goals to reduce water consumption at AEP facilities and power plants.
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Task force formed; review started for total water management approach.
Included water issues in stakeholder discussions.
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Nuclear energy will play an increasingly important role in our nation’s energy future, but managing nuclear waste storage remains a significant challenge.
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On-site dry-cask storage of spent fuel at Cook Nuclear Plant, starting in 2011.
Engage in national effort to develop permanent solution.
Participate in national effort to develop permanent solution.
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Work continued to develop on-site storage facil-ities at the Cook Nuclear Plant toward 2011 goal.
Identified process improvements to reduce storage needs.
Ongoing work with policymakers and stakeholders to achieve a long-term solution.
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Sustainable supply chain development is new to the utility industry but has become increasingly important as we seek to reduce our environmental impacts; questions remain about recovery of higher costs that may be incurred because of performance standards regarding sustainability.
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Champion Green Suppliers Network (GSN) process and the voluntary standards and guiding principles of the Electric Utility Industry Sustainable Supply Chain Alliance to encourage non-fuel suppliers to incorporate best practices in their product and service provisioning.
Develop process to evaluate environment, safety and health performance of coal suppliers:
1st quarter 2009 — Hire mining consultant.
2nd quarter — Develop/send questionnaire to
coal suppliers.
3rd quarter — Analysis; follow-up meetings with suppliers; stakeholder engagement.
4th quarter — Final due diligence with suppliers; plan in place.
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10 suppliers agreed to participate in GSN in 2008.
Founding member of Electric Utility Industry Sustainable Supply Chain Alliance (non-fuel).
Began discussions with coal suppliers and stakeholders.
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