The CEO of Duke Energy on Learning to Work with Green Activists

Rogers was a freshly minted CEO trying to lead Public Service Indiana back from the brink of bankruptcy when the results of a 10-year federal study on acid rain were released. He became convinced that legislation to curb sulfur dioxide emissions was inevitable-and that his industry should have a seat at the negotiating table. Though his peers were opposed to any government action, cap and trade looked to him like a smart and creative compromise that would enable utilities to modernize their plants and meet aggressive emissions targets without sending electricity prices skyrocketing. In 1990 Rogers testified before Congress in support of cap and trade, which was established by the Clean Air Act Amendments that year. A relatively high number of allowances gave PSI time to make a deliberate and sustainable transition to cleaner generation. Within three years the company's market capitalization had increased by more than 65%, while its price to customers had dropped. By 1995 its sulfur dioxide emissions were down by 30%. PSI acquired a national reputation; it merged with Cincinnati Gas & Electric to create Cinergy, which in 2006 merged with Duke Energy. Together with 21 other companies and five leading environmental organizations, Duke created the U.S. Climate Action Partnership to lobby for strong federal legislation to reduce greenhouse gas emissions.

• Corporate social responsibility
• Business law
• Change management
• Government policy and regulation
• Activists