Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

American Electric Power Company, Inc. (AEP), The AES Corporation (AES): What Do Dividend Stocks, Coal, and Cameroon Have in Common?

Page 1 of 2

It’s not exactly the Tony Awards, but the winners of the 2013 Edison Electrical Institute awards have been announced, marking another year of leadership, innovation, and progress for shareholder-owned utilities everywhere. And while none of these dividend stocks felt a 100% surge in share prices today, awards can serve as a unique signaling effect for corporations that are leaving their competitors in the dust. Let’s see why these dividend stocks could be a cut above the rest.

American Electric Power Company, Inc. (NYSE:AEP)

Can coal still kick it?
Heading into June, American Electric Power Company, Inc. (NYSE:AEP) was in close competition with NextEra Energy, Inc. (NYSE:NEE) as Edison Award finalists. NextEra Energy, Inc. (NYSE:NEE) added an enormous 1,500 MW of new wind commissions in 2012, putting its total wind capacity at 10,000 MW. The utility also received kudos for completion of a multi-year, multi-site, multi-billion-dollar nuclear uprate project that topped 400 MW expectations by a smooth 100 MW.

But while NextEra Energy, Inc. (NYSE:NEE) made the finals, it ultimately got the nudge. American Electric Power Company, Inc. (NYSE:AEP) finished first due primarily to its completion of the first “advanced ultra-supercritical steam cycle” coal-fired power plant. The $1.7 billion, 600 MW plant now serves as a principal source of baseload energy for Louisiana, Arkansas, and Texas.

While the facility boasts a record 39% efficiency for low-sulfur coal, the utility’s bureaucratic battles may have been its most impressive feat. American Electric Power Company, Inc. (NYSE:AEP) had to navigate seven years of “construction, scheduling, and legal and regulatory challenges” to put its new power plant on the map.

AEP’s not the only company to give coal another chance. Duke Energy Corp (NYSE:DUK) announced today that its 618 MW Edwardsport “advanced technology coal gasification” plant is officially operational. According to Duke, the plant is “one of the world’s cleanest coal-fired power generating facilities,” and will replace about 500 MW of coal power that didn’t make the environmental cut.

Congrats to Cameroon
The AES Corporation (NYSE:AES) may be pulling back on its international exposure, but the Edison Electrical Institute lauded the utility for its work in Cameroon over the past 12 years. AES began Cameroon operations in 2001 and has managed to greatly increase access to reliable electricity while providing jobs and social programs.

“We are really proud to receive this award,” said COO Andrew Vesey in a statement. “The company’s overall contribution to the advancement of the country’s power sector has enabled us to achieve extraordinary results, driven by a strong strategic vision and relentless efforts by the The AES Corporation (NYSE:AES)-SONEL [AES’ subsidiary] team to execute the plan. Our contribution to the renewal of the power sector of the country is also a great example of our successful public-private partnership with the Government of Cameroon.”

The utility has invested around $1 billion over the past 10 years, and has extended electricity access to about 60,000 new families each year. According to the company’s latest annual report, AES is the only electricity provider in Cameroon, with 1,238 MW of generation comprised of 58% hydroelectricity, 17% gas, 16% heavy fuel oil, and 9% diesel.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!