Company: TVC
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0001376986-25-000044
Chunk: 130

Company: Tennessee Valley Authority
Filing Date: 2025-07-29
Form: 10-Q
Item: Part I, Item 4
Chunk 130
---
 measures and goals for the 2026 – 2028 performance cycle under the Long-Term Incentive Plan (“LTIP”).  Each of these items is discussed in more detail below.

2026 Enterprise Scorecard for WPTIP and EAIP

The Board established the following performance measures and goals for the Enterprise Scorecard for both the WPTIP and the EAIP for 2026:  

Performance MeasureWeightThresholdTargetStretchSBU Controllable O&M and Base Capital Spend (1)40%2% SBU O&M /4% Capital Over Budget2026 Budget2% SBU O&M /4% Capital Under BudgetSerious Injury Incident Rate (2)15%0.030.010.00Transmission Performance Indicator (3)15%50100200Generation Performance Indicator (4)15%50100200Nuclear Performance Indicator (5)15%Equidistant from Target2%Comparable Fleet Top Quartile 24-month average as of September 2025

Notes

(1)  Strategic Business Unit ("SBU") Controllable Operating & Maintenance ("O&M") and Base Capital Spend equals the total Non-Fuel O&M and Base Capital expenses for corporate and operational SBU organizations (excludes Board of Directors).

(2)  The Serious Injury Incident Rate is a mathematical calculation used by Edison Electric Institute that quantifies the extent of injury for serious injuries and fatalities from events within the control of the employee and/or the employer.

(3)  Transmission Performance Indicator is an aggregate measure of the overall reliability of TVA's transmission system.

(4)  The Generation Performance Indicator is an aggregate measure of the overall reliability of TVA's power operations generation fleet based on key performance measures in Gas, Hydro, and Coal that are intended to ensure that TVA's fleet of power operations generation assets are available and reliable to meet system demand.

(5)  The Nuclear Performance Indicator is the Annualized Online Reliability Loss Factor, which is the 12-month ratio of all generation losses minus refueling outage ("RFO") and exempt losses to reference energy generation minus RFO and exempt losses in a normal fuel cycle period, per standard industry guidelines.  This measure monitors performance between refueling outages to obtain high unit and energy production reliability.

Transmission Performance IndicatorWeightThresholdTargetStretchLoad Not Served (1)60%4.43.73.0Outages per Hundred Miles per Year (2)20%2.872.612.35Connection Point Interruption Frequency (3)20%