Alabama Power powers up Southern Rockers and many others in the heart of Dixie. The Southern Company subsidiary provides electricity to 1.4 million residential and business customers in a 44,500 sq. ml. service area in Alabama. The utility operates more than 78,000 miles of power lines, and it has nuclear, hydroelectric, and fossil-fueled power plant interests that give it a generating capacity of more than 12,200 MW. Alabama Power sells wholesale power to more than 15 municipal and rural distribution utilities; it also provides steam transmission (used for heating and cooling buildings) in downtown Birmingham, Alabama, and sells electric appliances (such as thermostats, ovens, and washing machines).
The company reported a 3% drop in revenues in 2012 due to a 27% decrease in wholesale revenues as the result of a decline in energy sales and capacity revenues. The price of energy decreased 5%, partially offset by a 2% increase in power sales. Retail revenue declined by 1% as the result of milder weather, lower rates, and a reduction in fuel revenues.
However, Alabama Power's net income grew by 1% in 2012 thanks to lower operating expenses.
Growing its green energy portfolio, in 2012 the company agreed to buy 202 MW of power from a Oklahoma wind park being developed by TradeWind Energy and which is expected to commence operations in 2014. It also agreed to a 202 MW deal with TradeWind Energy's Buffalo Dunes Wind Project in Kansas,
In 2011 Alabama Power completed a six-year $1.7 billion clean air project that called for the installation of scrubbers (air pollution control devices) at all seven of its largest coal fired plants in Alabama. By 2010, six scrubbers were in operation at four power plants in Jefferson, Shelby, Walker, and Mobile counties.
Alabama Power is a unit of Southern Company.
In 2009 Alabama Power began was exploring the possibility of generating power by burning wood and other renewable fuels at one of its coal-fired plants in repsonse to government regulations calling for lower carbon emissions. In 2010 the company teamed up with The Westervelt Company, agreeing to buy biomass-fuel (waste wood material) from the timber company.
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