Understanding the Seven Principles that Guide United Power and Other Cooperatives

All cooperatives operate according to the same seven principles. These principles articulate the reasons cooperatives exist, which is for the good of their members, their communities, and one another.

1. Open & Voluntary Membership

Membership in a co-op is open to all people who can reasonably use its services and are willing to accept the responsibilities of membership.

United Power members include anyone who receives power on its lines within its defined service territory. 

2. Democratic Member Control

Co-ops are democratic organizations controlled by their members, who actively participate in setting policies and making decisions.

United Power members elect the co-op’s 11-person Board of Directors. Directors serve four year terms and are elected at the Annual Meeting held in April. The Board is the policy making arm of the cooperative and acts on behalf of its members. 

3. Members’ Economic Participation

Members contribute equally to the capital of their co-op. At least part of that capital remains the common property of the co-op.

United Power members pay not just for the electricity they use, but also for the infrastructure required to distribute power and the resources necessary to maintain the system of poles, lines, and equipment. The cooperative’s rates are designed so that members share the burden relative to their demand on the system and so that no one pays for more than they use. 

4. Autonomy & Independence

Co-ops are autonomous organizations controlled by their members. If they enter into agreements, they do so on terms that ensure democratic control as well as their unique identity.

United Power operates as an independent electric utility, most evidently demonstrated by its recent power purchase agreements. 

5. Education, Training, & Information

Education and training for members, elected representatives, CEOs, and employees help them effectively contribute to the co-op’s development.

United Power’s Board members obtain and renew credentials that help them effectively govern the cooperative. Employees are also encouraged to attend continuing education and training conferences that better equip them to perform their jobs. 

6. Cooperation Among Cooperatives

Co-ops improve services, bolster local economies, and deal more effectively with social and community needs through cooperation in local, national, and regional structures.

United Power partners with other cooperatives and regional and national groups to advocate for policy that benefits electric cooperatives and their members. The co-op is a member of the Association of Large Distribution Cooperatives, where ideas and best practices are shared. 

7. Concern for Communities

Co-ops work for the sustainable development of their communities through policies supported by the membership.

United Power is an advocate for the communities it serves, both as an economic development partner and proud supporter of local events, fairs, festivals, and more. 

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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.