Board Evaluation and Effectiveness
Board Refreshment & Diversity
Clawback and Anti-Hedging Policies
The NextEra Energy Board of Directors discharges its risk oversight responsibilities primarily through its committees, each of which reports its activities to the Board. The Board committees meet periodically with the company's senior management team to review the company's risk management practices and key findings.
Further, NextEra Energy's chief executive officer serves as the company's chief risk officer. In that capacity, the chief executive officer, together with other members of the company's senior management team, oversees the execution and monitoring of the company's risk management policies and procedures. NextEra Energy's management maintains a number of risk oversight committees that assess operational and financial risks throughout the company. NextEra Energy also has a Corporate Risk Management Committee, composed of senior executives, that assesses the company's strategic risks and the strategies employed to mitigate those risks.
Underscoring all of our business practices at NextEra Energy are three simple core values:
Integrity and ethical behavior are at the very foundation of who we are, what we do and how we do it. We expect all representatives of our company and our subsidiaries to act with the highest standards of personal and professional integrity, and to comply with all applicable laws, regulations and company policies. This is the reason we have three principal codes of conduct that embody these values and help ensure our values are upheld.
These three codes are a manifestation of our corporate values and apply to everyone who works for us either, directly or indirectly, or represents us.
Senior executive compensation is tied directly to performance that drive long-term shareholder value. Our senior executive compensation program includes goals tied to sustainability, a variety of which have been included as compensation metrics since 2001. Current senior executive compensation metrics include:
Renewable energy – To maintain our position as the world’s leading renewables developer, compensation is tied to executing the approved wind and solar projects on schedule and on budget, as well as adding significant new wind and solar opportunities to our backlog to support future growth.
Environmental events – To support our commitment to the environment, metrics include achieving zero significant environmental violations across all of our businesses.
Customer value proposition – To emphasize the delivery of an outstanding customer value proposition, compensation metrics include O&M costs per retail MWh, capital expenditures, service reliability and customer satisfaction scores. These metrics help ensure the delivery of low bills, high reliability, clean energy solutions and outstanding customer service.
Safety – Safety is always our highest priority. We include the number of OSHA recordable incidents in our compensation metrics to emphasize our focus on a ZeroToday! workplace.
Operational performance – To support continued delivery of clean energy to our customers, compensation metrics include availability metrics across the generation fleets.
Nuclear safety and reliability – To prioritize the highest levels of nuclear safety and reliability, compensation metrics include the nuclear fleet’s performance against industry-wide operating performance measures, as measured by a third party.