Carolina Power and Light Company.

• Author: Taylor, Ervin
• Position: Strategic planning - Company Profile

Carolina Power and Light Company serves over one million customers in North and South Carolina, yet is overshadowed by other major southeastern utilities. Our author discusses the current strategic initiatives of CP&L and the steps they are taking to position their utility for the future.

Originally chartered in 1908, Carolina Power and Light (CP&L) was formed by the merger of three existing utilities - Raleigh Electric Company, Central Carolina Power Company and Consumers Light and Power Company. The merged company was owned by Electric Bond and Share Company.

In 1926, Electric Bond and Share Company merged with Yadkin River Power Company in South Carolina, Ashville Power and Light, Pigeon River Power Company and Carolina Power Company. It was this 1926 merger which defines CP&L as it is comprised today. There was also a 1952 merger with Tide Water Power Company.

Today, CP&L serves over 1 million electric customers in North and South Carolina, and is headquartered in Raleigh, North Carolina. CP&L employs approximately 7,200. Of their approximately 66,200 shareholders, 27,000 live in North Carolina and 5,000 in South Carolina.

CP&L owns 9,613 MW of installed generation capacity, of which 55% is coal, 32% is nuclear, 2% hydro and 11% oil, gas and propane fired. Both their summer and winter record peak demands are slightly over 10,000 MW.

While CP&L may not be the strongest utility in the Carolinas, and must compete with a much larger Duke Power, they are implementing what they believe to be the necessary strategies to ensure their future.

CP&L VISION AND STRATEGIC PLAN

CP&L's corporate vision is to be a leader in four critical areas:

1. Cost, reliability and quality of operations 2. Services to customers 3. Success for employees 4. Returns for investors

This vision is to be carried out through the implementation of a five-part strategic plan.

To Aggressively Lower Costs While Emphasizing High Levels of Performance, Safety and Environmental Stewardship

Success in this strategic area during 1995 was highlighted by the establishment of a world record for continuous operations of a boiling water nuclear reactor - 581 days at the Brunswick Unit 2 plant. They also received a "Return on Environment" Partnership award from Betz Laboratories recognizing the Harris nuclear plant's success in solving environmental challenges. In 1989, downsizing efforts began when the workforce totalled 9,000. Today, the total is 7,200 and by the year 2000, the goal...