Message From Your President & CEO

A Letter to Members

No one likes rate increases. Full stop.

This is the time of year when we have the opportunity to look back as well as forward, and reflect on changes we have made or will make.

At United Power, we continue to evolve to meet the needs of our members, the requirements imposed on the utility, and the increasing demand for electricity from society in general. The cooperative’s growth necessitated many changes and, following Our Cooperative Roadmap, the amazing women and men in the organization have stepped up in a myriad ways.

I generally think of United Power’s evolution in three broad categories — the changes necessary due to our well-founded decision to leave our former power supplier, the changes required to meet state and federal mandates, and those driven by our growth. The majority of the changes are in the latter two categories. We topped 117,000 electric meters in early December and face the state mandate to reduce our greenhouse gas emissions 80% by 2030 (compared to 2005 levels). This is a particular challenge for United Power due to the continued growth in our service territory. 

Our job is to keep the lights on for the communities we serve. To do so, we added a wide range of generating resources to our mix. We hit a record peak of 680 MW this past summer, serving the load with a broad combination of resources including gas, solar, storage, hydro, and wind, which works to offset risk.

Looking back on 2025, we reached several major milestones:

• We opened Mountain Peak Power, a state-of-the-art natural gas plant, which will also be able to burn hydrogen when that becomes commercially available. The plant significantly changed — and lowered — our risk profile, while adding robustness and flexibility. Most importantly, it allows us to hedge natural gas during cold winter and hot summer months instead of relying on market purchases that can spike at those times.
• We signed a contract for 200 MW of solar backed by 200 MW of storage that will come on line in 2027 to replace expiring contracts. United Power already has more than 119 MW of batteries distributed across nine substations being deployed in new and different ways.
• We received finality about the exit fee from our former power supplier when the Federal Energy Regulatory Commission confirmed that United Power would receive an additional $124 million of prepaid transmission credit plus interest back over the next 40 years.

I am equally excited about what lies ahead for United Power in 2026:

• United Power will join the Southwest Power Pool (SPP) on April 1. Utilities that agreed to join the expansion of this regional transmission organization will be able to buy and sell power from the market, which will expand access to more renewables needed to meet Colorado’s clean energy requirements.
• We are implementing a new distributed energy resource management system during the first quarter of the year as we begin the next phase toward becoming a distribution system operator. This change will allow better member interactions and increase the options for load control and management. Through the SPP, we will be able to bundle grid edge resources to sell into the market. 

I would be remiss if I did not address the recent rate increase, which we recognize has been painful for many in our community. We have tried to avoid increases during my five-year tenure. While our cost of energy has gone down, power delivery costs and supply chain expenses along with insurance and property taxes continue to increase. We will be developing a 3-5 year rate strategy that smooths the pattern of future increases, and will survey members during first quarter of this year about the strategy. I urge you to let your voices be heard.

As always, please feel free to reach out with any comments or questions.