NEWS RELEASE
UNITED POWER
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BRIGHTON –- On May 1, United Power officially departed from its prior wholesale power contract, allowing the cooperative to restructure the energy resources in its power mix and provide a more flexible framework for its members.
TEA Solutions, a sister company of The Energy Authority, worked with the cooperative’s team to complete the transition from a single supplier to multiple wholesale energy providers.
“United Power is excited for our revolutionary new energy future,” said Mark A. Gabriel, president and CEO of United Power. “Our move away from a single, central power supplier will give us the flexibility and responsiveness that a utility needs to be competitive in the changing power market. We will be able to better meet the varied needs of our members and provide more predictable costs in the future.”
The cooperative’s partnership with TEA Solutions will provide for a variety of services on the power delivery side, including portfolio management, trading, and load forecasting. The full suite of services will ensure that the cooperative has adequate oversight of its multiple power sources and has an experienced team of specialists working to manage risk in the forecasting and trading markets.
“We’re proud to be United Power’s partner of choice as they begin their next chapter operating as an independent utility,” stated Joanie Teofilo, president and CEO of TEA Solutions. “This partnership demonstrates our commitment to assisting community-owned utilities in delivering reliable and affordable service to their residents.”
United Power’s decision to leave its former power supplier grew from a variety of changes in the electric delivery market and the fact that wholesale power represented 74% of all the cooperative’s costs prior to its departure. The previous contract also made it difficult to meet the growing demand for the integration of local generation sources, including rooftop solar. Additionally, the structure required that the cooperative cover a growing percentage of the power supplier’s costs that did not directly benefit United Power members.
“TEA Solutions offers a customized solution for electric utilities to provide the depth and experience we need to efficiently manage our power acquisition and delivery,” said Gabriel. “We are excited to work with an experienced and accomplished team of professionals who, along with cooperative staff, were able to manage our transition smoothly and without interruption.”
TEA Solutions will provide support for United Power’s unique energy needs, helping the cooperative meet its goals for delivering sustainable and economical power to its members.
“We are proud of our team’s hard work throughout this entire process and look forward to continuing our partnership with United Power,” said Teofilo. “We are dedicated to ensuring their success in this new market and future expanded markets while supporting their continued excellent service to their communities.”
United Power’s Board and staff were committed to finding a power solution that provides members with reliable power at more predictable prices into the future. Changes in the wholesale power market, increasing needs for flexibility in the delivery system, and growing ongoing operational costs from the cooperative’s former wholesale energy provider drove the need to seek out a change. United Power completed its withdrawal from its wholesale contract with Tri-State Generation and Transmission on May 1, with a historic funding agreement signed in April.
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