Partnership with PowerSouth Saves Co-op Money
Rates at West Florida Electric are as low as they were back in 2008, with members seeing prices for 1,000 kWh remaining lower than the local investor-owned utilities. One of the reasons this is true is because of your cooperative’s partnership with PowerSouth Energy Cooperative.
In fact, because of this relationship, WFEC was recently able to reduce its Power Cost Adjustment factor for the second time this year. A reduction of $1.50 per 1,000 kilowatt hours was implemented during the July 20 billing cycle. This makes WFEC’s rates for 1,000 kWh about 9 percent and 5 percent lower than investor-owned utilities in the area.
PowerSouth generates electricity for its 20 distribution members in Alabama and northwest Florida. Because PowerSouth is a cooperative, too, its goal is meeting members’ needs rather than making a profit.
WFEC joined PowerSouth in the mid-1970s and our members have seen benefits ever since. The primary benefit has been PowerSouth’s ability to help West Florida keep its wholesale power costs down.
By joining, WFEC became one of PowerSouth’s member-owners. These distribution co-ops and municipal systems across Florida and Alabama take advantage of the economy of scale PowerSouth provides. It’s like PowerSouth’s members buy in bulk and share the savings. We pool our resources and work together for the benefit of all. PowerSouth provides enough reliable and economical energy to meet the needs of nearly a million consumers across 39 Alabama and 10 Florida counties – that’s about 431,000 homes, businesses and industries.
PowerSouth owns and operates six generation facilities to make electricity for its member-owners, which it provides to us at wholesale cost. PowerSouth generates power using various fuel types – natural gas, coal, water (hydro) and compressed air energy storage technology. Using a variety of fuels and technologies to generate electricity balances the benefits and risks associated with each source, including reliability, economics and environmental factors.
PowerSouth also maintains long-term purchased power agreements to ensure economic and reliable power supplies for its members.
As a member-owner of PowerSouth, WFEC has decision-making power, along with the rest of PowerSouth’s members. Regardless of size or energy usage, each distribution member holds equal ownership in PowerSouth, governing a 40-member Board of Trustees composed of two voting delegates from each distribution system. So, WFEC is directly involved in the decisions that affect our members now and in the future.