Capital Investment Strategy
When we put capital to work, we are improving operational efficiencies, customer reliability and shareholder value. We are first and foremost a regulated energy company, which means the investments we make on infrastructure to improve the customer experience are generally supported by regulators and earn fair and reasonable regulated returns.
Between 2016-2018, AEP plans to invest approximately $5 billion, annually. Most of these capital investments – 95 percent – will be allocated to our regulated businesses; 74 percent will be allocated to transmission and distribution.
Tomorrow’s energy company must be adaptable, agile and ready to embrace new opportunities as they arise. We are deploying capital where it is needed and can benefit customers and investors the most. For example, the upgrade of our customer contact center technology which is under way will enable us to engage customers across multiple platforms in one place, providing the type of service customers expect. Our investments in transmission improve reliability for all customers and enable the connection of renewable resources to the grid. And our strategy to invest in large-scale universal solar will allow us to cost-effectively and efficiently deliver clean energy to more customers.