BULLHEAD CITY, AZ – Mohave Electric Cooperative (MEC) has been serving members for 75 years strong, and unlike most items over time, the cost of MEC’s electricity has stayed relatively the same since inception. Unlike investor-owned utilities who provide profits to shareholders, a utility operating under the cooperative model is a not-for-profit entity structured to provide its member-owners with exceptional service at cost.
This year, Mohave Electric successfully secured power purchases at a lower cost than anticipated. These savings will be shared with members, and on August 19, 2021, the MEC Board of Directors unanimously voted to increase the Purchased Power Adjustor (PPA) credit to $0.0225 per kWh sold to pass these savings to members, effective immediately.
The cost of wholesale power that MEC purchases on behalf of members is passed through as billed rates approved by the ACC. Changes to MEC’s wholesale power costs that are higher or lower than the rates are passed on through the Purchased Power Adjustor (PPA) on member bills. MEC strives to purchase power for the lowest cost while still providing reliable services. This is one of the perks of receiving power from a utility that follows the cooperative model.
The Purchased Power Adjuster is printed on every member’s monthly bill. “As a not-for-profit utility, MEC makes every effort to save its members money by negotiating the most reliable, yet affordable power prices possible. While the changing power market does not always provide an opportunity to save money for our members, when we are able to secure power savings, we make sure to pass those on to our members,” says Carlson.
Founded in 1946, Mohave Electric Cooperative is a not-for-profit utility providing reliable, cost-effective power to 36,000 members, 42,500 meters, with more than 1,555 miles of line spanning areas from Bullhead City to Topock on the west, Hualapai to Burro Creek to the south, and Nelson to the east.