Latest news with #AmericanElectricPower
Yahoo
03-06-2025
- Business
- Yahoo
Why an Ohio ban on settlements to close 'base load' power plants matters for clean energy
A decade ago, the Sierra Club and other environmental groups, trade organizations, and companies found themselves in a regulatory standoff with American Electric Power over operating costs for six coal-fired power plants in Ohio. The utility's opponents objected to letting the company collect more money from customers to keep the unprofitable plants running, while the utility argued the charges were a hedge against even higher costs. Before state regulators made a decision, the utility and some of its opponents announced a compromise. As part of the deal, the Sierra Club would drop its opposition in exchange for AEP's commitment to add more solar and wind to its portfolio as well as move up its timeline for closing or converting several coal plants to natural gas. A Sierra Club representative at the time described it as 'nowhere near a perfect deal' but as one that would significantly reduce carbon emissions and accelerate the state's clean energy transition. Such compromises will now be prohibited in Ohio under a new state law that forbids settlements involving the closure of 'base load' power plants. Proponents of House Bill 15, signed by Republican Gov. Mike DeWine in mid-May, say it will support the state's ever-growing power needs and promote competition within its energy sector. Yet critics are questioning the law's definition of 'base load' generating facilities: It only covers electricity sources that run primarily on nonrenewable fuels such as natural gas or nuclear. The definition excludes wind or solar power, even when combined with battery storage. Negotiating special deals in settlements has long been common in utility regulatory cases. Industry groups or companies have gotten discounts and other benefits in return for dropping opposition to utilities' added charges. Parties in court cases often settle before trial, too. For example, the same year that the Sierra Club reached a settlement with AEP, a trade group representing industrial customers negotiated a special rate with FirstEnergy's Ohio utilities in exchange for dropping opposition to a customer-funded bailout of that company's unprofitable coal and nuclear plants. (The secret terms of that agreement were part of a criminal case filed last year against Ohio's former chief utility regulator, Sam Randazzo. They also became part of a House Bill 6-related regulatory case on which regulators will finally hear evidence this month.) HB 15 will still allow settlements with special deals, as long as terms are part of the public record, there's no cash payment, and they do not close or limit 'base load' electricity-generating facilities. Neil Waggoner, who heads the Sierra Club's Beyond Coal campaign for the Midwest region, suspects the provision is likely a backlash to the environmental group's 2015 settlement with AEP. That deal didn't end up delivering all of the expected clean energy benefits. State rules requiring wind turbines to be a certain distance from other properties ultimately made it impossible for AEP to add the planned 500 megawatts of wind generation, and the Public Utilities Commission of Ohio refused to allow the utility to charge customers the cost of building 400 MW of solar energy. The 'base load' provisions weren't part of HB 15 as it originally passed the House, nor were they in the initial versions of the companion Senate bill, SB 2. The language appeared in a substitute version of SB 2 introduced on March 11, the same day that Ed Spiker, chair of the Ohio Coal Association, submitted written testimony pleading the state to enact 'guardrails to ensure current coal power plants are not forced to close.' The terms used in SB 2 included natural gas and nuclear in the definition of a 'base load electric generating facility' but not renewables. The Senate then added the provisions to HB 15 before passing it this spring. The law suggests Republicans' continuing willingness to prop up conventional power plants, even when their electricity may cost more than cleaner sources of power. 'How would you replace base load power generation, given the amount of megawatts that they produce that we certainly require?' Sen. Jerry Cirino, R-Kirtland, challenged one witness who spoke against nuclear power plants during a March 11 hearing held by the Senate Energy Committee. Yet electricity from coal and nuclear plants remains relatively expensive, compared to that from renewables or natural gas. Ashley Brown, a former state utility regulator, questioned the constitutionality of the new settlement restrictions. 'I don't know how they can tell somebody you can't shut down a plant,' he told Canary Media. Two weeks ago, the Trump administration ordered a retiring Michigan coal plant to stay open, although it's unclear whether the mandate will face a court challenge. Separately, regional grid operator PJM Interconnection has sometimes issued orders to keep power-generation facilities running to maintain grid reliability, as it did for former FirstEnergy coal plants. In that case, however, the company was paid to keep the plants open. Waggoner noted that HB 15's language only applies to settlements. Its terms wouldn't stop a company from closing an unprofitable plant on its own accord. HB 15 also finally revokes subsidies for two 1950s-era coal plants, which had been put in place by HB 6, the 2019 law at the heart of an ongoing public corruption scandal in Ohio. Yet Beth Nagusky, an adjunct law professor at Case Western Reserve University, wonders whether the provision preventing settlements that close 'base load' power plants is meant to lay the groundwork for new subsidies down the road for nuclear and coal plants, which might become involved in regulatory or judicial cases. 'I don't think that's even being hidden,' Waggoner said. Along the same lines, environmental groups have criticized laws from 2023 and 2024 that include natural gas and nuclear power in the state's definition of 'green energy.' As Waggoner sees it, utilities and policymakers who claim to be worried about maintaining enough 'base load' or 'dispatchable' electricity are concerned less about real reliability issues and more about minimizing the importance of renewable energy in the face of climate change, even when renewables are paired with storage. 'They're looking at how do you frame this argument so you're not just saying, 'We don't want renewables,'' Waggoner said. 'They're trying to find a way to justify what they want, as opposed to what the moment demands.'
Yahoo
03-05-2025
- Business
- Yahoo
3 Super-Safe Dividend Stocks to Buy That Have Been Impervious to the Stock Market Sell-Off So Far
A near 2.8% dividend yield will tide Coca-Cola investors over as they wait for more clarity on the economy. WM is as tariff-resistant as it gets in the industrial sector. American Electric Power is a leading regulated utility that provides an attractive option for conservative income investors. The major stock market indexes have staged an epic recovery in recent weeks but are still down year to date (YTD). But that doesn't mean all stocks are participating in the sell-off. Stable stalwarts Coca-Cola (NYSE: KO), WM (NYSE: WM), and American Electric Power (NASDAQ: AEP) have produced respectable gains in 2025. Here's why all three dividend stocks are worth buying now for risk-averse investors looking to generate passive income. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » Lee Samaha (Coca-Cola): If you want to play it safe and ride out the markets while you wait for more clarity over the tariff dispute and geopolitical conflict, investing in Coca-Cola is an excellent option. At the time of this writing, the stock is up over 16% in 2025, compared to a more than 5% decline in the S&P 500 index (SNPINDEX: ^GSPC), and that reflects the market's recognition that the stock is a haven in turbulent times. And if the weather remains stormy, investors will continue to need a haven. Moreover, the stock's near 2.8% dividend yield doesn't hurt, either. Coca-Cola's relative immunity from tariffs comes from its tendency to produce locally and sell locally. In addition, its exposure to tariffs on packaging materials like aluminum isn't a needle mover, as the metal is a relatively small part of its costs. Turning to the other side of the demand/supply equation, its core Coca-Cola beverage is more of a consumer staple than a consumer discretionary product, meaning it's not the sort of product that consumers cut back on in a big way when the economy is under pressure. If and when the tariff dispute resolves, Coca-Cola stock will probably underperform, so it doesn't make sense to be overloaded in the stock. However, it's a good option if you are looking for a relatively safe way to balance a portfolio or park some cash while waiting for more clarity on the economy. Daniel Foelber (WM): The company formerly known as Waste Management is up over 13% YTD at the time of this writing, handily outperforming the S&P 500 with its more than 5% decline. The largest waste management company in North America reported excellent first-quarter 2025 results on April 28, including a 16.7% increase in revenue and adjusted operating earnings before interest, taxes, depreciation, and amortization (EBITDA) growth of 12.2%. The higher revenue was largely due to WM's acquisition of medical waste giant Stericycle, which was completed in November for $7.2 billion. Going forward, WM will report its results under two segments -- the WM Legacy Business and WM Healthcare Solutions. However, it's worth mentioning that WM Legacy Business is still much larger than WM Healthcare Solutions, with $1.62 billion in adjusted EBITDA in the recent quarter compared to $95 million for WM Healthcare Solutions. WM has several competitive advantages that make it highly resistant to trade tensions. For starters, the company has a diverse pool of residential, commercial, and industrial customers. Long-term contracts with public and private customers keep WM insulated from short-term fluctuations in the economic cycle. Unlike other industrial companies that depend on broader economic growth and international trade, WM is focused on the North American market. WM is highly insulated from tariffs and economic cycles. Over time, WM benefits from population increases and higher demand for its services. WM's stable business model supports steady increases in free cash flow, which WM uses to raise its dividend and repurchase stock. Over the last decade, WM has reduced its share count by 11% and more than doubled its dividend. In December, WM announced its 22nd consecutive annual dividend increase with a 10% raise to $3.30 per share, or $0.825 per quarter. WM is a cash cow with a recession-proof business model. Before buying the stock, investors should be aware that WM fetches a premium valuation at 34.5 times earnings and has a dividend yield of 1.4%, which is around the S&P 500 average and far from high-yield territory. WM is an ideal fit for risk-averse investors who don't mind paying a premium price for an ultra-reliable company that can generate consistent results no matter what the economy is doing. Scott Levine (American Electric Power): During times of economic uncertainty, investors will often seek safety in conservative investments that are less susceptible to volatility -- investments such as utility stocks. And this recent market downturn is no different. While the S&P 500 has plunged more than 5% since the start of the year, American Electric Power, a leading electric utility, has soared more than 17% as of this writing. And while the stock has outperformed the market so far in 2025, investors can still pick up shares of American Electric Power, along with its 3.5% forward-yielding dividend, on the cheap. As many companies wrestle with the potential for tariffs to complicate their supply chains and contribute to rising input costs, American Electric Power has less to fret about. The business operates as a regulated utility; therefore, it's assured certain rates of return. This provides management with a reliable sense of where the company's headed financially and how to plan accordingly for capital expenditures such as infrastructure upgrades -- about $54 billion from 2025 through 2029 -- and dividend payments. Illustrating how management has deftly maintained the company's financial health while rewarding shareholders, American Electric Power has averaged a 69% payout ratio over the past five years. This circumspect approach will likely be maintained in the coming years as American Electric Power balances upgrades and growth of its portfolio with trying to grow shareholder value. Those looking to supplement their passive income streams have a great opportunity right now. Whereas American Electric Power stock has a five-year average operating cash flow multiple of 9.3, it's currently valued at only 8.9 times operating cash flow. Income investors, consequently, don't have to reach deep into their pockets to scoop up this leading electric utility stock and its high-yield dividend. Before you buy stock in Coca-Cola, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Coca-Cola wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $611,271!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $684,068!* Now, it's worth noting Stock Advisor's total average return is 889% — a market-crushing outperformance compared to 162% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of April 28, 2025 Daniel Foelber has no position in any of the stocks mentioned. Lee Samaha has no position in any of the stocks mentioned. Scott Levine has no position in any of the stocks mentioned. The Motley Fool recommends Waste Management. The Motley Fool has a disclosure policy. 3 Super-Safe Dividend Stocks to Buy That Have Been Impervious to the Stock Market Sell-Off So Far was originally published by The Motley Fool Sign in to access your portfolio
Time of India
30-04-2025
- Climate
- Time of India
Severe thunderstorm hits Ohio: Here's how to remain safe and not panic
Ohio just got hit with a nasty thunderstorm and if you are sitting at home right now with the windows rattling, lights flickering, and thunder sounding like it's trying out for a horror movie soundtrack… yeah, it's okay to be a little freaked out. But before panic mode kicks in, take a deep breath. Several customers in Northeast Ohio are amidst power outages on Tuesday afternoon, the American Electric Power has said. While storms can be scary, sure but with the right information, you can ride it out safely. What's the latest update on the thunderstorm? "Strong to severe thunderstorms expected from the interior Northeast, to the Ohio Valley, to the southern Plains through this evening. Another round of strong to severe thunderstorms possible across portions of Oklahoma, Arkansas, and Texas on Wednesday. Episodes of heavy rain will bring flash flooding concerns across the south-central U.S. through early Thursday," the Weather Prediction Center, National Weather Service, US has updated on its official website. "In addition to the severe threat across the interior Northeast and Ohio Valley, severe storms will also be possible farther south and west across portions of western Texas and southwest Oklahoma through this evening. Here, the Storm Prediction Center highlights an Enhanced Risk (level 3/5) of severe weather, with very large hail and damaging winds the greatest threats. An isolated tornado or two is not ruled out as well," it adds. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Google Brain Co-Founder Andrew Ng, Recommends: Read These 5 Books And Turn Your Life Around Blinkist: Andrew Ng's Reading List Undo Stay inside Let's start with the most obvious one: stay indoors. This isn't the time to 'just pop out real quick' or 'check on the car.' If it's storming outside, stay inside. Period. Avoid windows – Flying debris or strong winds could break the glass. Stay away from doors and porches – That fresh air can wait. Don't go driving unless it's an absolute emergency. If you're already out, try to get to shelter as quickly and safely as possible. Pull over if you're driving and visibility is low—just don't park under trees or power lines. Unplug major electronic devices This might sound old-school, but it really helps. Unplug TVs, computers, and appliances during intense lightning activity. A nearby strike can cause power surges, frying your expensive stuff in seconds. Surge protectors can help, but they're not foolproof. It's like storm insurance for your gadgets. Better safe than sorry. Keep flashlights in hand Candles are not the safest option during a storm, especially if you've got pets, kids, or a cluttered home. Instead, use flashlights, battery-powered lanterns, or headlamps. Stay off electronics You want to scroll through Twitter and Instagram to see what everyone else is saying about the storm. But if lightning is close, you're better off putting the phone down for a bit, especially if it's plugged in. Also, avoid using corded phones, laptops plugged into walls, or wired headphones. Wireless is your friend right now. In today's age of apps and digital alerts, a good old battery-powered or crank radio can still be your MVP. If your phone dies and the Wi-Fi's down, local radio stations often provide life-saving updates, especially during flash floods or tornado watches. Avoid plumbing This might sound weird, but it's true: lightning can travel through pipes. That means no showers or baths, no doing dishes and no washing hands (use sanitizer if needed). It's only temporary, and your hygiene will survive a few hours of thunderstorm precautions. Secure loose items around the house If it's safe to do so (like if the storm hasn't fully arrived yet), bring in or tie down things like lawn chairs, potted plants, garden tools, bikes, toys, or anything else light enough to blow away. Loose items can turn into projectiles during high winds and break windows or cause injuries. If power issues persist If the power does go out: Keep your fridge and freezer closed as much as possible to preserve food. Use flashlights or solar-powered lanterns (not candles). Don't panic, it's common during strong storms, and utility crews are usually on it fast. Turn off lights and appliances to avoid a surge when the power comes back. Just leave one light on so you'll know when it returns. Always remember, sometimes storms come in waves Once the thunder stops, don't assume it's all over. Storms often come in waves, and flash flooding can happen after the skies clear. Avoid walking or driving through flooded roads. Watch out for downed power lines—stay at least 30 feet away and call authorities. Be cautious of weakened trees or damaged structures. During any emergency, rumors and fake news spread like wildfire. Don't panic over every dramatic post on social media.
Forbes
09-04-2025
- Business
- Forbes
Power Up Your Income: 3%+ Dividend Yield & Positive Stock Returns – Part
Trefis American Electric Power is a dependable investment choice, offering both stability and growth through its regulated utility operations and solid financials. AEP has gone against the broader market trend by appreciating in value in 2025, while maintaining a dividend yield above 3%, demonstrating steady annual dividend increases and resilience amid rising trade tensions. Check out – Dividend Power Play: These 3 Stocks Have 3%+ Yield With Positive Returns This Year If you're aiming to lower volatility while maintaining potential upside, consider the Trefis High Quality portfolio strategy. This portfolio has outpaced the broader market with returns exceeding 75% since its launch, as shown by its HQ performance metrics. In a volatile market marked by trade friction and economic uncertainty, this dividend stock offers a rare mix of current income, growth prospects, and defensive strength. American Electric Power combines the consistency of regulated utilities with standout dividend growth. For investors who want to pair defensive strategy with appealing returns, AEP is a smart choice. Its dependable dividend, operational strength, and limited exposure to trade issues make it a valuable asset for portfolios focused on long-term stability and returns. Likewise, the Trefis High Quality Portfolio, made up of 30 stocks, has consistently outperformed the S&P 500 over the past four years. Why? As a group, the HQ Portfolio stocks have delivered stronger returns with less risk than the benchmark—providing a smoother ride, as shown in the HQ Portfolio performance metrics. Invest with Trefis Market Beating Portfolios | Rules-Based Wealth
Forbes
09-04-2025
- Business
- Forbes
3%+ Dividend Yield Stocks With Positive Returns In The Current Market
An electronic board displays information on recent fluctuations of market indices at the B3 Stock ... More Exchange in Sao Paulo, Brazil, on April 7, 2025. (Photo by Cris Faga/NurPhoto via Getty Images) For investors looking for protection and stability amid a nearly 10% drop in the S&P 500 this year — driven by President Donald Trump's new tariffs and retaliatory measures from major trade partners like China — three dividend-paying stocks deserve a closer look. These companies have not only delivered positive returns in 2025 but also offer dividend yields above 3%, consistent annual dividend growth, and resilience amid rising trade tensions. If you're aiming to reduce volatility while maintaining potential for upside, consider the Trefis High Quality Portfolio strategy. This portfolio has outperformed the market, delivering more than 75% returns since inception, as shown by its HQ performance metrics. In an environment marked by uncertainty and market swings, Philip Morris stands out due to its strong fundamentals and strategic focus, which have enabled it to weather global economic pressures effectively. American Electric Power remains a reliable investment, offering both stability and growth potential thanks to its regulated utility business and sound financial foundation. Much like Philip Morris, WEC Energy Group stands out as a solid defensive play with steady fundamentals that help it withstand a variety of market challenges. Given today's volatile market and rising trade tensions, these three dividend-paying stocks offer a powerful mix of income, growth, and defensive appeal. Philip Morris International provides global exposure and strong margins, while American Electric Power and WEC Energy Group deliver the stability of regulated utilities along with robust dividend growth. For investors wanting to strike a balance between defense and return potential, these stocks represent thoughtful choices. Their sustainable dividends, efficient operations, and relative immunity to trade disruption make them valuable additions to portfolios focused on income and growth. Likewise, the Trefis High Quality Portfolio, which features 30 stocks, has consistently outperformed the S&P 500 over the past four years. Why? Because HQ Portfolio stocks have delivered higher returns with lower risk than the benchmark — making for a smoother investment experience, as highlighted in the HQ Portfolio performance metrics. PM, WEC, & AEP Return Compared With Trefis Reinforced Portfolio Invest with Trefis Market Beating Portfolios | Rules-Based Wealth
