Colorado electric cooperatives United Power and La Plata Electric Association are weighing all options to change their existing energy procurement contract with Tri-State Generation and Transmission Association (“Tri-State”). In dual November filings with the Colorado Public Utilities Commission (“CPUC”), both cooperatives asked the state’s regulating body to exercise its authority to provide a just exit charge from its existing contract with Tri-State. Currently, both entities are required to purchase a minimum of 95% of their power from Tri-State under existing contracts that run through 2050. In addition, a recent S&P report downgraded Tri-State’s credit rating, with one of the reasons being that its Members’ retail energy rates were at least 20% higher than the statewide average.

“As the largest member in the Tri-State cooperative, we have a responsibility to our 92,000 residential and commercial customers to provide them with the cleanest and most affordable energy possible,” said John Parker, Chief Executive Officer of United Power. “Our current contract with Tri-State forces us to purchase some of the dirtiest energy in Colorado, while our customers pay 20% more than what is the state average. We’ve spent 18 months trying to change this contract, and all that we have gotten from Tri-State is delays, evasions and excuses. On behalf of our customers, we will no longer accept this.”

Tri-State relies heavily upon fossil fuels to provide power to its 43 cooperative members across four states, with 56% of its energy generation coming from coal, which is a significantly higher reliance on coal than other energy providers in Colorado. With the passage of HB19-1261, energy companies in Colorado must start work to reduce greenhouse gas emissions, and Tri-State is not well-positioned to meet these new standards.  As renewable energy production continues to drive down the price of energy, Tri-State’s continued reliance on fossil fuels is also hitting its members in the pocketbooks as well as putting the cooperatives at risk of not meeting the new clean energy standards.

 “Our community should have a choice,” said Jessica Matlock, Chief Executive Officer of La Plata Electric Association. “We want to be a part of the clean energy future and can achieve this through working in our backyard, with our community. We can bring jobs and economic growth to Colorado, while also supplying carbon-free energy to the region. We are disappointed that Tri-State is not partnering with us to achieve this clean energy future together. We want input into the process and choice when it comes to a cost-effective and clean energy future, not a one size fits all approach developed without input of the affected member cooperatives.” 

In response to United Power’s and La Plata Energy’s filings with the CPUC, Tri-State recently filed a motion to dismiss their complaints because they do not believe that the CPUC has jurisdiction over these matters. Instead, Tri-State claims that the Federal Energy Regulatory Commission has jurisdiction over their rates, even though their initial application was rejected in October for being deficient and incomplete.

“Tri-State is going up against a much larger tide that they spent years refusing to confront,” said Parker. “Tri-State’s lack of urgency in addressing these matters is aimed solely at self-preservation rather than what is best for our customers.”

The CPUC has set a date of January 10th to receive testimony on the matter and is expected to make a decision by early April.

About United Power
United Power is a member-owned, not-for-profit electric cooperative delivering electricity to more than 92,000 meters at homes, businesses and farms in Colorado's north-central front range. For more information about the cooperative, visit www.unitedpower.com or follow them on social media at facebook.com/unitedpower or twitter.com/unitedpowercoop.

About La Plata Electric Association
La Plata Electric Association, Inc. (LPEA) is a member-owned, not-for-profit, electric distribution cooperative serving La Plata and Archuleta, with segments of Hinsdale, Mineral and San Juan counties. There are 22 cooperatives in Colorado, LPEA is the fifth largest cooperative in the state, providing safe, reliable electricity at the lowest reasonable cost to approximately 34,000 members.

More Residential Rate Options Available to Members

Residential Rates Understanding Demand

A modest increase in residential rates proposed by the United Power board of directors in November became effective in January. Members on the Standard Residential rate will see a 1.5% rate increase, which amounts to an average increase of $1.58 per month. Members on the residential Time of Day and Irrigation rates will see a 2% increase, or an average monthly increase of $3.23. While the increase became effective beginning with usage on January 1, 2020, members won’t see the increase on their bills until February statements are mailed out.

Changes to residential rates include a small increase to the demand component, which was introduced to members beginning in 2019, and a corresponding reduction in the energy charge. For example, in the Standard Residential rate, the demand charge increased by 50¢ per kW while the energy charge dropped from 10.15¢ per kWh to 9.95¢ per kWh. The separation of the demand and energy elements allows the cooperative to more accurately, and fairly, charge members for their usage and impact on the system.

In addition to the rate change, residential members now have more options with the addition of the new Peak Time of Day Rate. Members who opt into the new rate will pay a slightly higher demand charge than on the standard residential or time of day rates, but are only charged for demand during on-peak hours (2 p.m. – 10 p.m., Monday – Saturday), providing more incentive and savings when members switch usage to off-peak hours.

“United Power is constantly looking into its rates and trying to find the best way to serve its members both individually and collectively,” said Dean Hubbuck, Director of Power Supply and Rates. “The addition of the Smart Choice and Peak Time of Day rates over the past two years has given members more options to find something that’s flexible and works for them.”

The new Peak Time of Day rate offers relief to members who utilize energy-intensive appliances that can cause spikes in demand overnight, such as electric thermal storage. With the new rate, members can charge their storage off-peak without worrying about demand. Electric vehicle owners who charge at night will also benefit from the new rate.

United Power will also be adding a new component to its billing statements that shows members exactly when they hit their peak demand. While this information is available through the Power Portal, it is not currently printed on bills. To find detailed information on United Power’s available residential rates for 2020, go to Residential Rates. There you can compare the demand and energy charges of each rate and choose one that works best for you.

The cooperative has also compiled a helpful list of resources to better understand the demand rate, including videos, printable materials and frequently asked questions. To view these resources and more, go to Understanding Demand.

When used safely and properly, portable space heaters provide a nice relief from the frigid chills of winter temperatures, which can often invade poorly insulated or ventilated rooms in older homes. Although space heaters are safe to use indoors because they don’t require combustion, they still pose burn and fire hazards and should be used with caution. 

Before operating, review the manufacturer’s instructions, including warning labels. Space heaters may seem like simple, easy to use electronics, but each brand and version has its own unique quirks and features. It’s better to be safe than sorry. After reviewing the instructions, inspect the space heater for cracks or broken plugs. 

Next, be sure to place the heater in a safe location. They should be located at least three feet away from anything that can burn, such as clothing and other fabrics, papers, rugs, etc. Do not place space heaters on furniture, such as chairs or tables. Place heaters on a firm, flat location on the ground away from heavily trafficked areas. 

Space heaters place a heavy load on an outlet. For this reason, do not plug any other electrical devices into the same outlet. Extension cords or power strips could also overheat and result in a fire, so plug the heater directly into the wall outlet. 

Most importantly, never leave space heaters unattended. Turn it off before you leave a room or go to sleep, and don’t let animals or children play too close to the heater. When you’re done using the space heater, always unplug it and store it safely. 

Space Heater Sticker Shock

Winter weather has arrived just in time to greet us for the holidays, and that means the cold temperatures that accompany it have also arrived. Heating is our biggest energy consumer in the winter, and when you are able to do it efficiently, you’ll notice savings on your bill. 

Unfortunately, try as we might, some rooms in our homes just don’t seem to stay as warm as others, whether that’s a room away from the furnace in an older home or a large open room that just needs a little extra warmth in the winter. 

A nice, cozy solution for providing some additional warmth in these rooms can be to use a portable space heater. However, the cost of using one of these heaters can add up quickly over the course of a few days if you’re not careful.

Space heaters are big consumers of electricity, most commonly sold as either 750- or 1500-watt models at retailers like Home Depot or Lowe’s. 

Using your space heater for as little as two hours per day over the course of a month can end up costing you nearly $10 extra on your monthly energy bill. The more hours your space heater is operating, the faster those extra charges add up.

Before you consider space heaters to solve your heating issues, try addressing some of these alternatives. 

• Search and seal. Cool air can find small cracks to get through. Sealing and caulking windows, doors and floors helps keep rooms free of cold air.
• Insulate. Upgrade your insulation or add to your existing insulation to trap more warm air in your home. 
• Install storm windows. These provide an added layer of insulation, which helps retain more heat.

October is nationally recognized as Breast Cancer Awareness Month, an annual campaign to increase awareness and rally people to help fund research to find a cure for the disease.

This October, United Power joined the ongoing battle to find a cure through an employee-led effort to support colleagues, raise funds and create awareness. The idea began to spread after co-op linemen asked permission to wear pink hard hats throughout the month, and evolved into a company-wide engagement effort.

“It’s exciting that this movement began internally by our linemen,” said Community Outreach Specialist Julie Stewart. “It’s even more exciting to see the support from the rest of our employees. As a co-op, caring for our communities is a core part of who we are, and I think this demonstrates how much they care.”

The cooperative issued linemen pink hard hats to wear on the job throughout the month of October, and employees received pink “United for the Cure” shirts. Employees were encouraged to wear their shirts every Thursday during the month. To raise funds for breast cancer treatment and support, internal departments donated themed silent auction baskets. The silent auction raised $5,000. The check was presented to the Platte Valley Medical Center Foundation at an employee meeting in November.

“The employee engagement and support we witnessed was more than we could have hoped for,” said Member Engagement Officer Meghan Dewey. “This was a heartwarming suggestion from employees, who all helped contribute in a big way.”

Breast cancer impacts hundreds of thousands of families every year. This year alone, approximately 270,000 new cases of breast cancer are expected to be diagnosed in women in the United States, not including non-invasive forms. It is the most common form of cancer diagnosed in women aside from skin cancer.

You can continue to help the fight locally by donating to the PVMC Foundation, which supports critical patient programs at Platte Valley Medical Center.