LPEA end-of-year statement on the status of future power supply discussions
DURANGO, Colo. – As 2020 draws to a close, La Plata Electric Association (LPEA) continues to explore all options for its future power supply that deliver affordable and reliable power to its members while also reducing carbon emissions. LPEA is particularly focused on exploring options that provide immediate cost savings to its membership, while also preserving the ability to build local renewables, adopt new technologies, deliver reliable power, and provide even greater long-term cost savings.
To accomplish this, LPEA continues to pursue a fair and equitable exit charge from its contract with current power provider Tri-State Generation & Transmission (Tri-State). The cooperative is currently engaged, at both the state and federal level, to ensure the approval of an exit methodology that will provide this fair and equitable fee.
LPEA is also exploring a partial exit from its Tri-State contract, also known as a partial requirements agreement. This newly formed option, co-created by LPEA and other Tri-State members, would allow Tri-State members to self-supply up to 50% of their power supply needs. Preliminary analysis shows this option would deliver significant – and immediate – benefits to LPEA’s membership in terms of reliability of power, cost of power, and carbon reductions.
Because of this, the LPEA Board of Directors authorized LPEA to apply for a partial requirements agreement, provided the process does not impact LPEA’s ability to pursue a potential full exit in the future.
The board will not make a final decision on future power supply until more details are available on the benefits and risks of all options. More details on this process will be available in February 2021.
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. LPEA is the fifth largest cooperative of 22 in Colorado, and aims to provide safe, reliable electricity at the lowest reasonable cost to its approximately 34,500 members. For additional information, contact LPEA at (970) 247-5786 or visit www.lpea.coop. Comments and questions are welcomed at [email protected].
For more information contact:
Hillary Knox
VP of Communications
La Plata Electric Association, Inc.
45 Stewart Street │P.O. Box 2750
Durango, CO 81302-2750
Direct: (970) 382-3518 │ Cell: (970) 749-6378
Email: [email protected] │ Web: www.lpea.coop
Post courtesy of LPEA
