Capital credits are the cooperative’s margins, or profits. PPEC uses the margins to help pay for capital investments, such as building or replacing power lines and other electrical system improvements. Then, at a later date, the margins are returned to you as cash back. It represents each co-op member’s ownership — or equity — in their cooperative. Capital credits are allocated to members in proportion to the dollar amount of electricity they used.

Last month’s payment will go as a bill credit to about 11,000 active members who used PPEC’s electric service from 1990 through 2022.

The electric co-op model is not an investment tool but a way to provide an essential, community-based service at reasonable costs. If positive margins are made, then they can be invested back into electric system upgrades and assigned and returned to those who used the service and provided the margins. It is a perpetual service that should always benefit its users.

CONSIDER REINVESTING BACK TO OPERATION ROUND UP OR LEGISLATIVE EFFORTS

Concern for community is a big part of the cooperative difference and PPEC members have donated more than $1 million back to local organizations through Operation Round Up (See page 16B). You can now allocate your capital credits into the fund to help support local nonprofits.

Another way we prove the value of the cooperative difference is when we work with legislative leaders on your behalf. For as little as $25 per year ($2.08 per month), you can join America’s Electric Cooperatives Political Action Committee (PAC) and fight to keep rates affordable.

If you would like to reinvest your capital credits into our Operation Round Up program or political action efforts to ensure your voice is heard by lawmakers, please complete the form on our website by visiting PPEC.coop/capital-credits. Please call us at 800-686-2357 with any questions.