Updated: March 2021

The challenges of 2020 were a timely reminder that corporate social responsibility is about company values and doing the right things in difficult circumstances. As we navigate through the evolving industry landscape, our vision to create a sustainable future for Arizona will continue to light our way to success. To ensure our success, we maintain a strong corporate governance structure and practices that support the successful execution of our strategic priorities including those focused on our customers, communities, and employees.

Read our Executive Letter and learn more about Public Policy, Business Responsibilities, Corporate Governance, Recognitions and ESG Reporting.

ESG Governance

In 2020, we made important organizational changes at multiple leadership levels to strengthen our ESG governance structure and drive change within the organization to help achieve our ESG and sustainability priorities. These changes will play a critical role in supporting and evolving our efforts to design for tomorrow, empower each other and succeed together. 

Board of Directors 
To demonstrate a heightened attention on ESG, our Board of Directors amended the charter of the Corporate Governance Committee, now the Corporate Governance and Public Responsibility Committee, to add the responsibility to review ESG trends that may impact the company, ensure oversight of ESG issues by the board and its committees and make recommendations to the Board, as appropriate. We also amended the charter of the Human Resources Committee to include a requirement to periodically review and assess the Company’s strategies and policies related to human capital management, such as diversity, inclusion, pay equity, corporate culture, talent development and retention. 

ESG Executive Council  
We created an ESG Executive Council. Chaired by the Vice President of Sustainability of APS and sponsored by the Senior Vice President of Public Policy of APS, the Council is comprised of senior executives and other stakeholders who will guide us in developing a common, cross-functional ESG vision and shared value across all business units; align and integrate ESG strategies with the overall corporate strategic direction; develop and maintain a common, cross-functional oversight of ESG reporting and implementation; and measure and report on activities to reach our Clean Energy Commitment; internally and externally. 

One outcome of the 2020 ESG Executive Council was the development of our Priority Sustainability Issues that we will use to inform our strategic direction, create a framework for identifying and incorporating best practices and drive enterprise-wide alignment and accountability. 

Learn more about our Priority Sustainability Issues

Department Changes  
We also formed a new Sustainability department dedicated to integrating environmental, social and governance best practices into the everyday work of APS. Its fundamental purpose is to drive our performance and enhance our reputation as a responsible corporate citizen.  

Finally, we created a Culture and Inclusion team to develop, strengthen and implement diversity, equity and inclusion strategies.

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