Pinnacle West Capital Corporation · NYSE:PNW
Pinnacle West Capital — Sanford C. Bernstein Renewable Energy Conference 2013
9 slides from Pinnacle West Capital's conference presentation, Sep 23, 2013
Slide 1: Renewable Energy Rises With the Sun
RENEWABLE ENERGY RISES WITH THE SUN Sanford C. Bernstein & Co. Renewables Conference September 23, 2013 Barbara D. Lockwood, P.E. General Manager, Energy Innovation
Slide 2: Renewable Energy Rises With the Sun
2 RENEWABLE ENERGY RISES WITH THE SUN We are helping Arizona become the “Solar Capital of the World” Arizona Arizona Germany and Japan are among countries with highest installed solar capacity, yet have solar conditions far inferior to Arizona
Slide 3: Arizona's Renewable Resource and Energy Efficiency Standards
ARIZONA’S RENEWABLE RESOURCE 3 AND ENERGY EFFICIENCY STANDARDS Our programs address Arizona’s aggressive renewable energy standard Renewable Energy (RES) Minimum Requirements Portion of retail sales to be supplied by renewable resources • 5% by 2015 • 15% by 2025 Distributed energy component • 30% o
Slide 4: Renewable Generation Mix
4 RENEWABLE GENERATION MIX We are making good progress; our renewable resources will be predominantly solar Biomass/Biogas Geothermal Biomass/Biogas 2% 4% Geothermal 9% 4% Solar Wind 40% 24% Wind Solar 47% 70% 2012 2015 5.3% of retail sales 12% of retail sales (projected)
Slide 5: APS Solar Ownership Programs
5 APS SOLAR OWNERSHIP PROGRAMS We own both utility scale and distributed solar energy through 3 programs Community Power Project 1.4 MW completed Arizona Sun 86 MW completed + 64 MW in progress + 50 MW proposed = 200 MW Total Schools & Government 7 MW completed + 6 MW in progress
Slide 6: Solana: A "Sunny Place"
6 SOLANA: A “SUNNY PLACE” Solana will provide more than one-quarter of APS’s renewable energy target by 2015. • 250-MW 30-year PPA for all output (~900 GWh/year) • Concentrating solar trough facility 70 miles southwest of Phoenix • On target for 2013 commercial operation • 90%+ on-peak capacity fact
Slide 7: Rooftop Solar Incentives in Arizona
7 ROOFTOP SOLAR INCENTIVES IN ARIZONA Incentives for photovoltaic systems have come down dramatically over time 44MW $3.00 47MW $2.50 $2.00 23MW $1.50 19MW $1.00 15MW $0.50 $0.00 2009 2010 2011 2012 2013 Incentive Step-down Estimated Capacity Distributed Solar Energy deployment has risen significant
Slide 8: Rates That Match Customer Choice
8 RATES THAT MATCH CUSTOMER CHOICE Rates need updating to match current energy trends What’s Changing Customers are producing and consuming energy in new and innovative ways What’s Needed • Safe and reliable power supply available to all customers when they need it • Utility rates that recover the c
Slide 9: Long Term Outlook
9 LONG TERM OUTLOOK • Renewable energy will continue to increase over time and, in Arizona, it will predominately be solar • Energy storage is not cost effective today - and is not likely to be in the near future • Absent cost effective energy storage, flexible gas generation will be needed to accom
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