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AEP increases 5-year CapEx plan

American Electric Power Co. Inc. plans to invest $33 billion in its regulated operations from 2019 through 2023, with 75% of that capital to be allocated to transmission and distribution operations.

"Our customers will benefit from a more reliable, resilient and smarter energy system as we rebuild and enhance aging infrastructure and add new, more efficient technologies to our transmission and distribution systems. We plan to invest approximately $16.6 billion in our transmission businesses and another $8.3 billion in our distribution businesses over the next five years," AEP Chairman, President and CEO Nicholas Akins said in a Nov. 11 news release.

Previously, AEP planned to invest $24 billion from 2018 through 2021 in its regulated businesses and contracted renewables, 75% of which would have been allocated to grid and electric infrastructure investments.

The company also plans to add more than 8,300 MW of wind and solar generation, as well as more than 2,600 MW natural gas projects to its regulated generation fleet by 2030. This will be made in support of AEP's target to slash its carbon dioxide emissions by 60% from 2000 levels by 2030.

AEP continues to target 2019 operating earnings in the range of $4.00 per share to $4.20 per share, and annual operating earnings growth rate of 5% to 7%.