Several United Power members have asked about this severe weather situation that occurred in Texas, wondering if something similar could happen here at United Power. There are a number of factors that are unique to the Texas power market and grid that make that region susceptible to both outages and price swings. At United Power we operate under a different wholesale power structure and have a more robust regional network to back up our power grid – both factors that help us avoid a situation like the one in Texas.

When the weather is at its worst, electric co-ops are at their best, working together to keep the lights on. United Power currently purchases all its wholesale power from Tri-State Generation and Transmission, which is a generation electric cooperative that provides service to four states. Tri-State and its members work around the clock to keep power reliable for distribution cooperatives like United Power.

How did our power supplier and our region perform during the severe winter weather?

Tri-State was able to provide the power its members needed, while managing costs to protect its members from higher electricity bills.

Tri-State’s initial analysis on the operational and financial impacts from the Feb. 13-17 winter storm, which has created financial difficulties for utility services providers in many parts of the U.S., show that the storm had an immaterial financial impact on Tri-State.

Sufficient resources were available to fully serve all the cooperative members electric loads, and no wholesale rate increase will be required or passed along to Tri-State's 42 member cooperatives and public power districts as a result of the severe weather.

What role did various generation technologies play during the recent severe weather?

Tri-State’s coal generation fleet performed extremely well during the weather event, providing reliable and low-cost power for the duration of the severe weather.

In response to the limited availability and high price of natural gas, Tri-State made the decision to use fuel oil at its dual-fuel combustion turbine generating plants. This action significantly reduced Tri-State’s exposure to record high natural gas prices, which were driven by lower supply and higher demand as space heating needs increased.

Tri-State’s solar resources performed adequately, but were below the monthly forecast. Wind resources were more significantly impacted and performed far below forecast due to low wind speeds and icing conditions. Such conditions for wind generation performance, however, are not unexpected during these types of severe winter weather events.

Tri-State's recent entry on Feb. 1 into the Southwest Power Pool’s Western Energy Imbalance Service market also supported the cooperative’s members through the weather event. The new market performed well, maximizing the efficient usage of the transmission system and dispatching the lowest-cost resources.

How does Tri-State ensure resources are available and prepare for severe weather?

Maintaining the electric grid is a real-time operation. Power must be generated at the very moment it’s used in the exact amount that’s needed at all times. Keeping our electric grid stable requires continual, real-time monitoring to balance supply and demand.

Tri-State plans its resources with a reserve that helps ensure that it will be able to meet its member cooperatives electricity needs. Tri-State also maintains operating reserves that can be brought on within 10 minutes, and works with other utilities in “reserve sharing groups” to help ensure loads can be met.

To anticipate electricity needs, Tri-State’s staff use a combination of load forecasts and weather conditions to predict system demand. They also rely on their experience. Looking ahead at generation availability and scheduling energy purchases helps ensure there is enough electricity to meet demand at the lowest costs available.

Operationally, Tri-State maintains its power plants and transmission system to be reliable year-round. When severe winter weather approaches, Tri-State prepares its power plants, and if severe weather is forecast that could affect its transmission infrastructure, Tri-State will position lineworkers in key areas to ensure they can address any issues as quickly as possible.

Why did the severe winter weather cause power outages in some areas of the country?

In the electric grid that serves the western U.S., including United Power, there were no reports of power outages tied to the availability of electricity.

In the eastern grid, where Tri-State serves several members in Nebraska as part of the Southwest Power Pool’s regional transmission organization, very cold weather increased electricity demand and power production challenges tightened power reserves, resulting in very limited and brief interruptions of power that were coordinated among transmission operators. Midcontinent Independent System Operator (MISO) also required some load shedding in the eastern interconnection.

In the Texas electric grid operated by the Electric Reliability Council of Texas (ERCOT), there were more significant issues as record cold weather increased electricity demand, which exceeded the resources available to produce electricity as fuel supplies and power plants were also affected by the record cold weather. As electricity reserves in ERCOT severely tightened, electric service was curtailed to help protect grid reliability. Prices for natural gas and electricity reached record levels. These conditions persisted for several days. Regulators are investigating the reliability and energy cost issues across the country.

How should member-owners prepare for weather-related power outages?

As recent wildfires and winter storms remind us, Mother Nature can be unpredictable. It’s important to be prepared and have an action plan for possible power outages, both for short- and long-term events. Some things to consider include:

• Create a safety plan for all members of your family, including pets;
• Stock up on supplies, including food, water, currency, batteries, flashlights, first aid kits. This also includes filling up your vehicle with gasoline before a cold spell;
• Make sure sufficient supplies of medicines are available. Be prepared to be able to charge medical devices, or have another back up plan like back up oxygen canisters, etc.;
• Be prepared to store larger quantities of water and in some cases, be prepared to boil water. Never use heating equipment intend for outdoors, such as camping gear, to heat water or cook inside your home;
• Always have your mobile phone charged, and be prepared for alternative methods of charging (such as from a vehicle);
• Routinely check on backup power sources if available, such as gas generators, to make sure they can operate during an outage;
• Have a battery-powered radio on-hand; • Keep emergency numbers handy; and
• Be prepared to move to an alternative location with power if necessary. This could be with family or friends, a local shelter, etc.

United Power hosted its second consecutive virtual Annual Meeting on April 14 as lingering pandemic concerns prevented the cooperative from safely gathering with its members. Members who were interested in attending the meeting could either listen via phone, an alternative option introduced a year ago, or watch the livestream online.

Record participation at the 2021 Annual Meeting demonstrated how effective the virtual format could be in allowing the cooperative to share and celebrate United Power’s accomplishments over the past year with its members. More than 560 member attended the meeting via phone or livestream. The meeting included a recap of the cooperative’s 2020 accomplishments, a financial report and the certification of the Director Election.

Voting in this year’s Director Election was conducted via mail-in ballot only and 5,787 total ballots were cast by members. United Power’s Election and Credentials Committee Chair, Dale McCall reported the certified results of the 2021 Director Election. After all votes were tabulated, the cooperative has new board representatives in the South and Mountain Districts, while incumbents Tim Erickson and Brian McCormick retained their seats. Brad Case received 2,996 votes to claim the seat in the South District, while Ken Kreutzer received 2,600 votes. Stephen Whiteside, who ran unopposed, received 5,139 votes to win the seat in the Mountain District. Erickson, East District, received 3,148 votes to retain his seat on the board, while Steve Douglas received 2,484 votes. In the West District, McCormick retained his seat after receiving 3,059 votes. Vicki Hutchinson received 2,487 votes.

Ursula J. Morgan and Bryant Robbins presented the cooperative’s Chairman and CEO Report and summarized the accomplishments and challenges that 2020 presented to United Power.

Between prioritizing the health and safety of both members and employees, a historic wildfire season and ongoing conversations about competitive rates, last year was one of the most challenging, and most successful, years in United Power’s 82-year history.

In a proactive response to the pandemic, cooperative leadership temporarily suspended disconnects and established a financial assistance fund for members affected by COVID-19. The Co-op Cares Fund, created by allocating $300,000 in unclaimed capital credits, helped more than 1,700 members struggling to pay their electric bills. While the cooperative quickly shifted its focus to providing relief for members during the difficult period, internal departments were also adapting to the changing circumstances to provide the same level of service.

“What didn’t change was our commitment to providing the best possible service,” said Bryant Robbins, United Power’s acting chief executive officer throughout the pandemic. “We were still able to answer the phones, set up new service, help members with questions about their accounts and process payments. We safely restored power during outages, we kept building new lines and substations, and continued planned maintenance on the electric system.”

As though navigating the pandemic was not already challenging enough, this past summer also saw the worst wildfire season in Colorado history. While fires burned parts of rural electric systems north and west of United Power’s service territory, the cooperative was fortunate it was not affected. The co-op monitored the situation closely and was already in the midst of implementing a multiyear comprehensive wildfire mitigation plan.

“One thing that 2020 brought to light was the real threat of wildfires,” Robbins said. “United Power has had a fire mitigation plan in place for several years, and in 2020 we continued to look for ways to strengthen that plan.”

United Power had to adapt and respond quickly to new and evolving circumstances throughout the past year and did so by prioritizing its members. It rose to meet expectations and did so while also making meaningful headway in its long battle with Tri-State to provide more competitive rates.

“Your board believes the members of United Power deserve cleaner, more affordable power,” said Morgan, chairman of the cooperative’s Board of Directors. “We are already a leader in innovative renewable energy projects. Each of those projects were driven by what is financially and environmentally best for our members. Being able to consider other sources of power is just another step to build on our commitment to you, our members.”

United Power’s treasurer, Keith Alquist II from the South District, presented the cooperative’s financials and reported that despite the challenges in 2020, the cooperative continues to be in good financial condition. The auditors specifically complimented the United Power financial services team for their professionalism, completeness and accuracy in preparing the financial statements on a monthly basis.

Before adjourning for the evening, Morgan introduced United Power’s new president and chief executive officer, Mark Gabriel, who officially assumed his role on March 15, 2021.

“We are entering one of the most exciting times in the electric utility industry with a rare alignment of technological, societal and political momentum,” Gabriel said. “The electrification of everything will be the norm for the next decade and I believe the cooperative business model is the best suited to support the needs of members in our communities.”

Retiring board members, Susan Petrocco and Rick Newman, were also honored during the meeting for their many years of service to United Power members.

United Power board and staff concluded the meeting with a member forum offering members an opportunity to ask questions live over the phone or submit questions and comments online. The cooperative plans to follow up personally to any members who submitted questions that were not addressed during the time allowed. The videos and information presented at the 2021 Annual Meeting, including the cooperative’s 2020 Annual Report, are available at www.unitedpower.com.

United Power a member-owned, not-for-profit electric cooperative, delivering electricity to more than 97,000 meters at homes, farms and businesses throughout Colorado’s northern front range. The 900 square mile service territory extends from the mountains of Coal Creek and Golden Gate Canyon, along the I-25 corridor and Carbon Valley region, to the farmlands of Brighton, Hudson and Keenesburg. At the end of 2020, the cooperative reached more than 97,000 meters representing more than 300,000 members. For more information about the cooperative, visit www.unitedpower.com or follow them on Facebook, Twitter, Instagram, YouTube and LinkedIn.

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