Briefing on Palo Verde

Palo Verde Generating Station is a key nuclear power plant in Arizona, demonstrating robust generation and high capacity factors, while actively engaging in partnerships and managing various operational and external risks.

Overview

• Project Name: Palo Verde Energy Educational Center

• Company: Palo Verde Nuclear Generating Station

• Status: Operating since 1986

• Location: Arizona, approximately 45 miles (72 km) west of downtown Phoenix

• Technology: Nuclear, with 3 generators

Operational Details

• Capacity: 4.2 GW

• Annual Generation: 31,322 GWh with an 84.9% capacity factor

• Recent Generation (2025): 2,069 GWh (October), 1,921 GWh (November), 2,822 GWh (December)

• Grid: NERC: WECC, Balancing Authority: Salt River Project

Ownership and Financials

• Parent Company: Pinnacle West Capital

• Operator: Arizona Public Service Co.

• Ownership: Jointly owned by Arizona Public Service Co., El Paso Electric Co., Los Angeles Department of Water & Power, Public Service Co of NM, Salt River Project, Southern California Edison Co., and Southern California P P A

• Capital Expenditure (CapEx): $3,291/kW (2015–2024)

• Operating Expenditure (OpEx): $23.6/MWh (2015–2024)

Recent Activities and Risk Factors

• Latest Activity: Partnership with Salt River Project and Tucson Electric Power (World Nuclear News, 2025-02-07)

• Latest Ruling: "notice" from the Nuclear Regulatory Commission (KTAR News 92.3 FM, 2026-03-19)

• News Signals: Includes commitments for acquisitions and funding for new nuclear sites, as well as constraints related to severe storms causing power loss and a mysterious drone swarm incident.

• Risk Factors: Identified as R12_NATCAT_FM (Natural Catastrophe - Force Majeure)

Palo Verde Generating Station is a critical nuclear asset in Arizona, known for its significant generation capacity and high capacity factor. Despite its strong operational performance, the plant faces ongoing scrutiny and potential risks, as evidenced by recent regulatory activities and past operational challenges due to external events.