By Doug Stewart | Chief Executive Officer of PCEA

I want to take a moment to share how our electric cooperative is thinking about the future and how we make decisions that affect the system you own. This is the start of an ongoing conversation about planning, responsibility, and why these things matter to every member.

The electric system you rely on every day has been built over time through long-term planning. Since our cooperative began in 1936, the poles, wires, substations, and equipment that deliver power across our service territory have been built, maintained, and improved to meet changing needs. At the same time, our line crews and staff have been trained and prepared to safely serve members wherever they live or work. Decisions made over many decades affect safety, service, and reliability today and into the future.

When conditions change, responsible cooperatives do not wait and react. Instead, we plan ahead, communicate early, and take our responsibility to members seriously. Thoughtful planning helps reduce uncertainty and allows the cooperative to remain strong and dependable over time.

Across the country, the electric industry has been changing, and the cost of providing electric service has been rising steadily for several years. These increases are driven by higher prices for the everyday materials, equipment, labor, and technology needed to operate and maintain the electric system. Inflation and trade policies have affected many of the items that we rely on.

These pressures are not temporary, and they influence how electric cooperatives everywhere plan for the future, including ours. Careful planning helps us manage these pressures, but it does not make them go away. As these pressures continue, planning leads to decisions, not avoidance.

As a member-owned cooperative, we pay close attention to these cost pressures because they matter to you. Our responsibility is to manage them carefully on your behalf. That means looking ahead instead of reacting late, making thoughtful decisions, and ensuring the cooperative remains financially stable and able to provide dependable service over the long term.

Safety matters. Service matters. Reliability matters. Being ready to respond when equipment fails or severe weather affects our system matters too. Providing this level of service requires ongoing planning and investment. Preparing for the future, rather than postponing decisions, is part of being a good steward of the cooperative.

One tool cooperatives use to guide responsible planning is a cost-of-service study. At a basic level, this study helps us understand what it costs to provide electric service and how those costs are shared across the system. It also looks at how electricity is used at different times and in different ways. This information helps guide decisions that are fair, balanced, and responsible.

Fairness in electric rates means sharing costs in a way that reflects how the electric system is used, while treating members openly and responsibly. It is about making sure the cooperative operates in a way that supports long-term service for all members and remains financially sound over time.

It is also important to know that a cost-of-service study does not set rates by itself. It provides information. Decisions about rates are made by the cooperative’s board of directors and management working together. They use this information, along with judgment and an understanding of how changes affect members. These decisions are made carefully and always with the long-term health of the cooperative in mind.

We know many households and businesses are feeling financial pressure. Rising costs affect everyone. Cooperative employees and directors live and work throughout the communities we serve. We shop at the same stores, drive the same roads, and face the same challenges. We care deeply about how decisions affect our neighbors because this is where we live and work as well.

That is why responsibility is shown through action. Even when cost pressures come from outside the cooperative, it is  still our job to respond in thoughtful and careful ways. This includes seeking competitive pricing for materials, looking for the best value from vendors, pursuing outside funding when available, using technology that helps crews restore power more efficiently, and planning system improvements to reduce the risk of costly emergency repairs. One recent example is our ongoing FEMA mitigation work, which helps strengthen parts of our system while limiting the financial impact on members.

Over the coming months, we will continue to share information as this planning work moves forward. Our goal is to communicate before decisions take effect, not after. We want members to understand how decisions are made and why they matter.

There will be more details to share later, including how rates are structured and what that means in practical terms. That information will come before any changes take place, and we will take care to explain it clearly. For now, what matters most is knowing that this cooperative exists to serve its members and that decisions are guided by fairness, responsibility, and long-term reliability. We take seriously the trust you place in us as stewards of the cooperative.

We promise to approach decisions carefully, openly, and with respect for the cooperative and the members it serves. We appreciate the opportunity to serve you and will continue sharing information as important decisions take shape over the months ahead.