Pinnacle West Capital Corporation
PNW Stock Mar 18, 2010 at 16:02 ET 37.94  +0.03   
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2008 Annual Report


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Safety Performance

Critical Success / Performance Indicators
We report safety statistics in an effort to measure and improve our performance. As stated in the 2005 - 2010 Business Plan, our goal is to be ranked number one among peer utilities by 2010 as measured by:

  • All Injury Incident Rate - total OSHA Recordable injuries reported;
  • Lost Work Incident Rate - total number of OSHA Recordable injuries resulting in lost workdays; and,
  • Severity Incident Rate - total number of workdays lost due to OSHA Recordable injuries.

While APS continues to rank well in safety performance against its electric and gas utility industry peers, safety performance in 2007 fell far below our standards. For some perspective, in 2004 – the company’s safest year – we had 101 recordable injuries, of which 31 involved lost work days. However, in 2007, we incurred a total of 177 recordable injuries, 61 involving lost work days.

Safety is a core value at APS, and we are taking steps to improve our performance in 2008 by holding all officers, managers and front-line supervisors personally accountable for safety performance in their operations

“As leaders, we have a responsibility to ensure our people work safely. Let me be clear: Nothing is more important than the safety of our people, and I need your help in regaining our focus. The number of injuries we are experiencing is trending upward, and the severity of our injuries is a serious concern. We need to reverse these trends. I will hold leaders accountable for the safe work practices of their team members.”

--Don Brandt, APS President and Chief Executive Officer

At the beginning of 2008 all leaders were required to participate in a Leader Safety Awareness training program and to conduct safety meetings with their employees. These and other efforts will be ongoing throughout 2008.

(Note: 2007 Edison Electric Institute utility industry safety statistics were not available at the time this report was published.)

Incidents are reported through an electronic Event Notification and Tracking System, and managers are strongly encouraged to also report close calls By evaluating close calls and making corrections when appropriate, we believe we can identify potential problem areas before they result in an accident. The number of close calls reported has increased over the past several years as we have communicated our reason for doing so.


 

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