Cooperative Utilities
Tips & Advice to help you make your decision on Cooperative Utilities
A cooperative utility company is one in which the customers are also the owners. Owners invest in the company so that it can be established and operated. As the utility makes money, any profits are either reinvested in the company or distributed to the investors. Every customer-owner has an equal say in the running of the company.
Cooperative utilities are more common in rural communities where they were needed to help bring the utility to the people living there. While these utilities strive to serve their communities and keep prices reasonable, sometimes the cost of maintain ting the infrastructure without the benefit of big city tax dollar support makes that challenging.
Becoming part of cooperative utilities means locating one in your area or helping establish one. If you want to find one in your community, Business.com may be able to help. They have resources that you can peruse. The listings shown on the left are the co-ops and support businesses where you might find the services you seek. This can set you on the path to utility independence. Scroll through the listings and contact any vendors companies that seem like viable options. With just a few clicks of your mouse, you will have all the information you need.
Cooperative Utilities
Consumers are the owners of cooperative utilitiesBy Geraldine McGowan Cooperative utilities are user-owned utilities companies. Area cooperative utilities are usually formed in rural areas where private utilities companies don't think it's worthwhile to invest. A coop utility seeks to provide energy at cost to its users. Electric cooperatives are regulated by the Board of Directors of the National Rural Electric Cooperative Association.
A municipal power coop is different. These utilities are state-owned and governed. They work to supply low cost energy to members and participants of the coop.
When investigating cooperative utilities, know that:
1. If the area cooperative utility makes a profit at the end of the year, owners get capital credits.
2. Cooperative utilities provide lower cost electricity and reliable service because they are not run to make a profit.
3. An area coop utility can provide electricity, water or gas to a community. Anyone who uses the service is automatically an owner. Coop utilities invest in renewable energy programs at a greater rate than private utilities.
Find a coop utility near you
Electric cooperatives are represented in most states. They provide utilities at a lower costs than private utilities providers. More than 85% of the electricity utility coops offer electricity generated by renewable resources.
Try: Touchstone Energy Cooperatives is an alliance of electric cooperatives across the country and provides a state-by-state listing of its members. Boone Electric offers its members a choice of using standard electric energy or renewable energy. Area cooperative utilities are using renewable forms of energy more often than their private counterparts.
Consider wind turbine as a renewable energy alternative for an electric coop
Wind turbine renewable energy is used by area coops when conditions are indicated. Almost all area coops depend on grants and loans from the U.S. government to build or invest in renewable energy.
Try: Fox Islands Electric of Maine has been looking into wind turbine energy since 2001. Illinois Rural Electric Cooperative serves more than 10,000 members and won a DOE award for its wind cooperative.
Regard cooperative utilities as an investment in the environment's future
Area cooperative utilities pride themselves on the close relationships they have with their customers because of the small communities they serve.
Try: The National Rural Electric Cooperative Association keeps abreast of area coop news but it also distills the principles behind cooperatives--including giving back to the community. Rappahannock Electric Cooperative provides high-school students with grants and scholarships from its LEARN program to further the education of young people.
- Cooperative utilities charge customers more for using renewable energy than traditional forms of energy.
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