2017 03 bre mm

matters MEMBERSHIP

A MONTHLY NEWSLETTER FROM BLUE RIDGE ENERGY

March 2017

Temporary rate reduction concluding:

Member savings total $26.8 million The temporary rate reduction the cooperative has been able to give members since 2014 has produced $26.8 million in savings on member bills. Rates will return to 2013 levels after March.

For the average residential member using 1,000 kilowatt hours (kWh) of electricity monthly, the savings has been about $280.

For the average residential member using 1,000 kilowatt hours (kWh) of electricity monthly, the savings has been about $280.

“We’re very pleased the cooperative has been able to reduce members’ bills through the temporary rate reduction,” said Chief Executive Officer Doug Johnson. “We’re also pleased that for the remainder of 2017, we’re able to keep rates at 2013 levels.”

While many other things are increasing in price,

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Blue Ridge Energy has worked hard to keep members’ bills the same as they were four years ago—all while adding services and keeping reliability and customer satisfaction at all-time highs.

Johnson said the rate reduction was due in large part to lower wholesale power costs. One contributing factor was the effect lower electric generation fuels prices have had on the market. He also said the efforts of all employees to contain and reduce operating costs has helped keep rates down.

On the final month of the reduction for March bills, members will receive a savings of $9 per 1,000 kWh of electricity used, which is the typical monthly usage of a Blue Ridge residential member.

The long-term forecast currently indicates that member rates are expected to remain stable until 2018 with only modest increases for later years forecasted due to wholesale power costs.

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the

perspective From Blue Ridge CEO Doug Johnson

Good value for your membership The temporary rate reduction, which is ending with March bills, has saved members $26.8 million that would have otherwise been paid on monthly bills since the reduction began in 2014. The three-year reduction was possible from a combination of factors, including lower costs than projected for wholesale power and reduced operating costs achieved by your cooperative.

I’m very pleased we were able to offer this savings! Anytime we are able to reduce bills, we do so for our members.

savings for our members.

Another effort to keep member rates low is our WorkSmart initiative. Since 2009, employees have identified and implemented efficiency ideas to reduce or avoid operating costs totaling almost $25 million that members would otherwise had to cover. As an organization that already operates leanly, I commend our employees because these ideas require careful planning so that nationally ranked service and reliability are maintained for our members.

I’m also pleased to say that rates Finally, we also work to keep will remain at 2013 levels beginmembers’ bills low through our two ning with bills rendered in April. subsidiaries that produce revenue There’s more good news. Based on used to help offset rising costs. Our industry forecasts for wholesale propane and heating fuels subsidpower costs combined with operatiary and our business-to-business ing efficiencies at your cooperative, dark fiber leasing subsidiary were Our temporary rate reduction has saved member rates are projected to recreated to benefit members while members $26.8 million. main stable in 2017. Only moderfilling critical needs — and providate rate increases are forecasted ing jobs — in our area. Together for 2018 and beyond based on long-term wholesale these two companies produced almost $2.8 million power cost projections. net benefit to the cooperative in 2016!

Wholesale electricity that we purchase to power our members’ homes and businesses makes up the largest portion of your monthly electric bill: 60 percent.

Since 2004, we have independently managed our wholesale power agreement with Duke Energy Carolinas, LLC. This has produced significant, ongoing Page 22

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As a cooperative, we exist to provide the members we serve with good value and to make life better in local communities. Successful results in the three areas above are the cornerstones to helping achieve our cooperative purpose and in keeping your bill as low as possible.

MEMBERSHIP matters

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Director Proxy Committee to be appointed As part of the director election governance process giving members an option to vote for cooperative directors by mail or Internet, a Director Proxy Committee will be appointed by the Board of Directors at their regular March board meeting.

or mail and therefore, are not required to attend the Annual Meeting in order to vote for directors. However, members who have not voted, or who voted by Internet or mail but wish to change their vote, must attend the Annual Meeting in order to do so.

This committee will be made up of three directors and an alternate whose terms are not expiring and who are not running for re-election this year to the Board of Directors.

The names of the Director Proxy Committee will appear on the proxy forms contained in the director election and Annual Meeting notice kits sent to members and on our website at BlueRidgeEMC.com.

As stated in the corporation’s bylaws, the Proxy Committee serves multiple roles for the membership. First, the committee will cast votes for members designating their preferences selected on submitted electronic or paper proxy forms. Secondly, the committee will serve as a proxy for any member wishing to assign his vote for director elections to the committee. Lastly, the committee will cast votes for members who return their proxy but do not make a choice on voting options.

Members wishing to be considered for nomination to serve on the Board of Directors have two options: the Nominating Committee or nomination by petition.

Interested members must first submit a director application packet which is available by contacting Julie O'Dell-Michie, Chief Administrative Officer, for Blue Ridge Energy, at jmichie@blueridgeemc.com or at 1-800-451-5474, ext. 3202. The packet is due by 5 p.m. on March 1 when using the Nominating Committee process or by 5 p.m. on April 3 when using the Nomination by Petition process.

Director election kits will be mailed, or sent by email to members who have requested to receive this information electronically, on May 24, 2017. The notice of Annual Meeting along with information about board candidates will be part of the director election kit.

Members have convenient options to vote by Internet

For a complete list of qualifications and requirements to serve as a director of the cooperative, please refer to the cooperative’s Bylaws available at BlueRidgeEMC.com or by contacting any Blue Ridge Energy office.

All members who sign up for the emailed Director Election Kit are eligible for a TV!

Easier than ever It’s now easier than ever to vote for and get information about your cooperative’s Board of Director elections! To receive the director election information kit by email with a link to vote online, sign up now at BlueRidgeEMC.com/ elections. Sign up now to be entered to win an Internetready Smart TV! Director election kits, including biographical information about candidates, will be emailed on May 24. That same day, paper versions of the kit will be mailed to all other members who have not signed up for the email version.

In surveys, the vast majority of members say they prefer to vote online. Receiving the director election kit by email makes it easier than ever to do so since it includes the link to vote online. The kit received by email contains the MEMBERSHIP matters

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same information included in the paper version of the kit.

Furthermore, receiving the kit by email and voting online helps hold down costs, which in turn also benefits members.

Won’t you join the thousands of members already receiving the kit and voting online? All you have to do is go to BlueRidgeEMC.com/elections, or, on the home page of BlueRidgeEMC.com simply look for the Director Elections button. Fill in your name, email, telephone and Blue Ridge Energy account numbers to validate your membership and you’re done! All members signed up to receive the director election kit by email are automatically entered in the drawing for a TV!

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2/9/17 12:04 PM

This is the third of a series of articles discussing vegetation management.

Vegetation management balances reliability with scenic beauty Keeping the path of power lines free of large trees and brush helps our members enjoy reliable electricity. It also provides a safe working environment for our line technicians.

Vegetation must be continually managed in rights-of-ways in order to deliver safe, reliable electricity to our members. That’s why your cooperative uses a combination approach to right-of-way maintenance that includes selective herbicide application. Early in the process, trees and large growth that threaten reliability are either removed with mechanical trimmers or trimmed by hand. The following summer, crews use a backpack applicator to apply

environmentally safe herbicide targeted to vegetation that could grow into power lines. This herbicide allows low-growing vegetation to thrive.

This low-volume, manual method of vegetation management helps protect the natural habitat of the many plants and wildlife in our area. These practices are endorsed by several key animal and plant organizations such as the North Carolina Department of Natural Resources, The National Wild Turkey Federation, Ruffed Grouse Society, Buckmasters and the National Butterfly Association.

A certified arborist manages our vegetation management program

to ensure a balance of care for the environment with electric reliability and member satisfaction.

Because we respect your property, member notification is an important part of our vegetation management plan. Planned maintenance that requires us to be on a member’s property begins with a phone call to give members advance notice. If we cannot reach a member by phone after several attempts, a post card is mailed. This process ensures members have the opportunity to learn more about the maintenance project and the need to be on their property.

CHIEF EXECUTIVE OFFICER Doug Johnson

EDITOR Renée R. Whitener

PRODUCTION SUPERVISOR Susan Simmons

DISTRICT OFFICES Caldwell Watauga Ashe Alleghany Wilkes PowerLine®

(828) 754-9071 (828) 264-8894 (336) 846-7138 (336) 372-4646 (800) 451-5474 (800) 448-2383

Toll Free

(800) 451-5474

(PowerLine® is an automated account information and outage reporting system.)

(for members outside of the service area.)

To report an outage at any time, call PowerLine at (800) 448-2383.

OFFICE HOURS: 8:30 am - 5:00 pm, Monday-Friday Kiosk available 24/7 + Night deposit

Meter service inspections on your property While automated meters are greatly reducing the need to be on members’ properties, it is necessary to periodically check cooperative equipment and perform maintenance to ensure reliable electricity. These inspections are required by the National Electrical Safety Code. Blue Ridge Energy or a contractor authorized by the cooperative conducts regular inspections of service facilities and authorized contractors and their vehicles will have official Blue Ridge Energy identification.

Visit us on the web: BlueRidgeEMC.com + This institution is an equal opportunity provider and employer.

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MEMBERSHIP matters

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