Experience and Leadership

By Peter R. Keat

FINANCIAL STRENGTH: SMUD met the challenges of the California energy crisis. Since I was elected, SMUD's bond rating has been raised to "A" by all three national rating agencies ; this means lower borrowing costs for building projects like our new Cosumnes Power Plant.

NEW POWER PLANT: SMUD received approval from the California Energy Commission to build a 1000 megawatt Cosumnes Power Plant and we are now constructing phase one, which will deliver 500 megawatts.

DIVERSIFIED ENERGY SOURCES: I have worked for source and fuel diversity to reduce the risk of disruptions in our electricity supply. SMUD now generates its electricity at three local cogeneration plants and at nine hydroelectric plants on the American River. We also purchase electricity through low-cost, long term contracts from a variety of sources.

ENERGY INDEPENDENCE: When the Sacramento Bee endorsed me it noted my leadership in advocating alternative energy. SMUD is a national leader in solar and wind generation, which reduces Sacramento's reliance on fossil fuels.

LOWER BILLS: I have been a leading promoter of SMUD energy conservation loans and rebates that save energy and money for business and residential customers.

CUSTOMER SERVICE: As a small-business owner I understand the importance of excellent customer relations. SMUD is ranked #1 in customer service among major electric utilities in California by the independent J D Power and Associates.

LOCAL CONTROL: No one feels more strongly than I do about SMUD's importance as a community-owned business and its role in promoting a healthy business climate in Sacramento. In the last four years SMUD became its own local"Control Area", which increases reliability and reduces outages.