NU Online News Service, June 22, 11:42 a.m.EDT

As director, risk management services for the Tucson ElectricPower Company (TEP), Karl Zimmel has had his share of challenges,the latest being the massive wildfires in Arizona, which havecharred hundreds of thousands of acres and threatened TEPfacilities.

Business continuity plans in place have gone a long way towardprotecting the company and its employees, he says.

Zimmel, a member of National Underwriter’s EditorialAdvisory Board, says he has been in risk management for 29 years.He has been with TEP, a $1.4 Billion utility company, sinceDecember, 2008.

Within a few months of starting his job, Zimmel says the swineflu pandemic hit. As a new employee without establishedrelationships within the company, he says, it was a challenge toquickly develop a plan for an emerging risk.

His most recent, and largest risk management challenge, he says,is the various wildfires in Arizona. The Wallow Wildfire camewithin about 15 miles of the company’s largest generation plant inSpringerville, Ariz.

The fire also came within one mile of a transmission line nearLuna, N.M., which provides a significant portion of electricity toTucson, he says.

“I have learned a lot from what so far has been a ‘near hit’from wildfires,” Zimmel says. “This experience has continued todevelop my understanding of the technical operations side of theutility industry and all of the sophisticated redundancies in placeto keep the national electrical grid reliable.”

The utility business, he adds, has been a “much more significantlearning curve than any of the other industries I’ve workedin.”

Zimmel’s risk management background includes Alberto-Culver a$3.3 billion beauty products manufacturer; Ace Hardware Corporationa $3 billion hardware retailer and wholesaler; and Hub Group, Inc.,a $1.5 billion transportation and logistics company.

These wildfires, he says, have reinforced the need tocontinually develop plans for pandemic-type events—especially sinceTEP had issues similar to a pandemic when most of its SpringervilleGeneration Station employees were recently evacuated from theirhomes because of the wildfires. “Fortunately, we had a plan inplace to assure coverage at the nearby facility,” he says.

Below and on the following pages are images of the wildfiresraging in the West.

Miles of smoke billow skyward from the Wallow Fire Tuesday, June7, 2011, near Greer, Ariz. Officials say the blaze has alreadyburned 486 square miles and is about 10 miles outside the towns.Winds have been driving the flames 5 to 8 miles a day since thefire began, possibly from an unattended campfire. (AP Photo/Ross D.Franklin)

A home burned in the Wallow Fire is seen in Greer, Ariz.,Monday, June 13, 2011. The focus of the battle against amassive wildfire burning ineastern Arizona shifted to New Mexico as crews lit firesaround the town of Luna to stop the flames. (AP Photo/Jae C.Hong)

In a June 14, 2011 photo, an airplane drops retardant near aneighborhood off of Highway 92 as the Monument Fire burns in theHuachuca Mountains near Sierra Vista, Ariz. Fires have devouredhundreds of square miles in the Southwest and Texassince wildfire season began several weeks ago. (APPhoto/Arizona Daily Star, Greg Bryan)

In a June 14, 2011 photo, large flames are visible behind a homeoff of Highway 92 as the Monument Fire burns in the HuachucaMountains near Sierra Vista, Ariz. (AP Photo/Arizona Daily Star,Greg Bryan)

In a June 14, 2011 photo, large flames and plumes of smoke arevisible along Highway 92 as the Monument Fire burns in the HuachucaMountains near Sierra Vista, Ariz. Fires have devoured hundreds ofsquare miles in the Southwest and Texas since wildfire season beganseveral weeks ago. (AP Photo/Arizona Daily Star, Greg Bryan)