Leadership & Strategy

Regulatory Environment

The electric utility industry regulatory environment is vastly different from five years ago. A combination of slow economic growth, the low cost of natural gas, more stringent and expensive environmental regulations and other factors have forced us to be more agile and adaptable to ensure our long-term health. We have made significant strides to reduce the time between investment and cost recovery from customers (known in the industry as regulatory lag). We have done this by collaborating with regulators and other stakeholders to develop rate frameworks that balance AEP’s need to recover its costs to maintain and operate its system with our customers’ ability to pay for it.

The New Turk Power Plant

The 600-MW John W. Turk, Jr., Power Plant in southwestern Arkansas is among the nation’s cleanest, most efficient pulverized coal plants.

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