Cooperative Difference
A cooperative is a business that is owned and controlled by the people who use it. Its primary purpose is to provide goods and/or services to its members for their mutual benefit.
Rural electric cooperatives operate more than half of the electric distribution lines in the United States and provide electricity for 26 million people. Cuivre River Electric Cooperative is Missouri’s largest electric distribution cooperative, serving more than 58,500 families and businesses in Lincoln, Pike, St. Charles and Warren Counties.
America’s Cooperative Electric Utilities
Electric cooperatives are an integral part of the $364 billion electric utility industry. They play a critical role in our nation's economy and in local communities.
Electric Cooperatives Are
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private independent electric utility businesses,
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owned by the consumers they serve,
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incorporated under the laws of the states in which they operate,
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established to provide at‑cost electric service,
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governed by a board of directors elected from the membership, which sets policies and procedures that are implemented by the cooperatives’ professional staff.
Distribution cooperatives deliver electricity to the consumer. Generation and transmission cooperatives (G&Ts) generate and transmit electricity to distribution co‑ops.
In addition to electric service, many electric co-ops are involved in community development and revitalization projects, e.g., small business development and jobs creation, improvement of water and sewer systems, and assistance in delivery of health care and educational services.
Facts At A Glance
864 distribution and 66 G&T cooperatives serve:
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42 million people in 47 states.
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18 million businesses, homes, schools, churches, farms, irrigation systems, and other establishments in 2,500 of 3,141 counties in the U.S.
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12 percent of the nation's population.
To Perform Their Mission, Electric Cooperatives
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own assets worth $112 billion,
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own and maintain 2.5 million miles, or 42%, of the nation’s electric distribution lines, covering three quarters of the nation's landmass,
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deliver 10 percent of the total kilowatt‑hours sold in the U.S. each year,
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generate nearly 5 percent of the total electricity produced in the U.S. each year,
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employ 70,000 people in the United States,
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pay more than $1.4 billion in state and local taxes
Compared With Other Electric Utilities
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Co-ops serve an average of 7.0 consumers per mile of line and collect annual revenue of approximately $10,565 per mile of line,
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Investor‑owned utilities average 35 customers per mile of line and collect $62,665 per mile of line,
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Publicly owned utilities, or municipals, average 46.6 consumers and collect $86,302 per mile of line.
Statewide Associations
In 38 of the 47 states in which electric cooperatives operate, statewide associations provide a unified voice that speaks to the general public, regulatory bodies and state legislatures on behalf of their members. These associations are voluntarily supported, governed by representatives of the member cooperatives and offer commonly desired services. Thirty-two statewide associations publish newspapers or magazines for the co-op consumer-owners, reaching more than eight million readers each month.
National Representation
The National Rural Electric Cooperative Association (NRECA) represents the national interests of cooperative electric utilities. NRECA provides legislative, legal and regulatory representation; medical insurance and financial services; education and training programs; business consulting; a weekly newspaper and a monthly magazine. NRECA and its member cooperatives also support energy and environmental research and administer a program of technical advice and assistance in developing countries around the world.