Fuel Management

APS’ tagline is: “The power to make it happen.” But where does this power come from?

Three primary fuels power our generators: nuclear, coal and natural gas. Each is procured in a different way. Coal procurement addresses mining, transportation and coal composition. In essence, we make sure the right kind of coal is available and accessible for our power-generating needs.

Nuclear fuel depends on the acquisition of uranium and fabrication of fuel assemblies. Again, nuclear power is a function of availability of raw materials and the capability to process them.

Natural gas is a commodity which is managed by the Fuels Procurement Group at Pinnacle West Power Marketing. The Fuels Procurement Group manages natural gas transportation contracts with El Paso Natural Gas Company.

Federal, state and local regulatory agencies conduct inspections to ensure compliance with requirements. All of our fuel suppliers maintain federal, state and local permits and adhere to environmental standards. As always, when acquiring and processing fuels for power, we work with fuel suppliers to develop environmentally preferable processes, materials and products. We assist with environmental studies aimed at finding ways to reduce the impact on air quality, ground water, vegetation and animal habitats. 

We also remain committed to our policy of producing energy from natural resources in the most economic and efficient ways. We purchase approximately 97 percent of our coal locally. When feasible, energy is produced from local and regional fuel sources in an effort to limit the economic and environmental impact of transportation.