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Tri-State Lowers Green Pricing Premium

January 2008 - Tri-State, a generation and transmission cooperative that serves 44 distribution utilities in four states, announced that is lowering the price premium for renewable energy under its voluntary Green Power Program. Starting January 2008, Tri-State began charging its member distribution cooperatives a market rate for renewable energy, which is currently about 0.4¢/kWh above standard wholesale electricity rates, and down from 1.25¢/kWh last year. The change is expected to provide significant savings and spur greater participation in the program, but because the new premium is based on market rates, the price will likely change over time. To supply its Green Power Program, Tri-State currently purchases the output of a number of wind, small hydro, and biomass facilities, with the balance of the renewable energy purchased on the open market in the form of renewable energy certificates (RECs).

Currently, 32 of Tri-State's 44 member co-ops have consumers enrolled in the Green Power program. Participating member distribution cooperatives are responsible for setting the price premium for residential and business customers who opt to purchase green power. For instance, La Plata Electric Cooperative in Colorado announced that it would pass on the savings from Tri-State to its end-use customers by lowering its green power premium to $0.80 per 100-kWh, or 0.8¢/kWh above standard electricity rates. The LPEA board opted to add 0.4¢/kWh to the current wholesale rate to absorb market fluctuations so that it does not need to change the price premium regularly and to generate funds for supporting local renewable energy sources.

News Release - Tri-State issues request for renewable energy, reduces voluntary program cost

News Release - LPEA announces green power price reduction

News Release - Green power offered at market rate (PDF 404 KB) Download Adobe Acrobat

Tri-State Contacts:
Rob Wolaver (303) 452-6111
Jim Spires (303) 254-3193

Printable Version

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