2008 Annual Report
The past twelve months brought the following activities and achievements for your cooperative:
Worked safely with no lost time
Generated 132,509,703 kWh in
accidents since November 7, 2005
Green Power EMC sales since the program began in 2001
Converted 6,700 meters to the
new TWACS automated meter reading system
Exceeded $610,000 in
Enrolled over 1,200 units in
Operation Roundup contributions since the inception of the program in 2001
the No Sweat Air-Conditioning program
Signed contracts for
Significantly reduced energy
usage by implementing numerous conservation and efficiency efforts for all Tri-County facilities
participation in the construction of two new nuclear units at Plant Vogtle and a biomass renewable energy power plant Received the 2007 Award of
“Are you committed to your energy future? That question above any other defined the past year.”
Completed an addition to the
Eatonton District Office
Excellence for Current Lines, the cooperative’s newsletter
Recorded a new record winter
Set a new sales record of
system peak demand of 104 MW in January
363,595,420 kWh sold in 2007
Board of Directors
Tri-County EMC’s Board of Directors (L-R): Vice Chairman Brenda P. Green, Secretary/Treasurer Tommy Noles, Rev. Charlie Richardson, Chester Mercer, Chairman Tom Thompson, Jr., Marion Nelson, Sammy Hall, Dan Greene and Mike Rainey
CEO C. Hill Bentley and Board of Directors Chairman Tom Thompson, Jr. at Plant Scherer. In the next ten years, Georgia cooperatives must nearly double the existing electric generation capacity.
Executive Message
A
re you committed to your energy future?
the center of these is No Sweat, a portfolio of
That question above any other defined
demand-side management, rebates and energy
the past year. In a year of dramatically
audit programs. And we’ve recently restructured
rising energy, transportation and material costs,
residential rates, sending proper price signals that
your cooperative’s leadership has worked to
reflect increasing costs for higher energy usage.
minimize the impact on rates while seeking intelligent solutions for our pressing energy issues.
Leading at home is important but so is providing leadership in Washington. Electric cooperatives
It’s no secret that the years of plentiful energy
from across the country are encouraging con-
supply in Georgia are nearly over. In the next ten
gress to wisely craft energy policy. We’re asking
years, Georgia cooperative’s must double the
Congress to carefully consider how future legisla-
existing electric generation capacity to keep up
tion will affect our ability to meet future needs.
with growing energy needs. Tri-County’s staff and
We know we cannot meet growing electricity
board of directors are actively working to ad-
needs with renewables, conservation and ef-
dress these needs. In fact, Tri-County has already
ficiency alone. But balancing energy needs and
elected to be a part of the two new nuclear
environmental goals is critical if electric rates are
generators at Plant Vogtle. And Tri-County is
to remain affordable.
currently considering options for additional coal, natural gas and biomass generation projects.
So we return to the question, “Are you committed to your energy future?” Meeting the goals
But we do not see meeting this growth through
of affordable, reliable electricity will require a
generation alone. In fact, we’re convinced that
multi-pronged, team approach. As we always
changing attitudes and usage habits of electric-
have, Tri-County EMC will work hard to address
ity are critical. The average monthly usage for
the challenges the future holds. We will continue
Tri-County’s residential customers has increased
to make tools such as conservation and energy-
from 873 kWh in 1990 to 1,223 kWh in 2007. Tri-
efficiency products and renewable energy avail-
County has challenged all of our members to
able. We challenge you to commit to making a
commit to conserving energy. And we’ve put
difference by utilizing these valuable resources to
tools in place for our members to take control
take control of your energy usage and to be a
of energy usage and future power costs. At
part of your energy future.
2008 In Review
T
ri-County EMC was created to
Like most everyone, rapidly increasing
serve our members. The past year
costs impacted the cooperative in recent
centered around developing new
months. The cooperative’s operating costs
generation resources for the future, work-
are about 16% of the budget, versus 66%
ing to control costs and continuing to bring
for wholesale power costs. Compared to
better service to our members through
the first five months of 2007, transporta-
new programs and technological innova-
tion costs for 2008 are up 36%. The costs
tion. Meeting future capacity needs for a
of materials have increased 9% over the
rapidly growing cooperative will prove one
same period. In September, Tri-County
of our biggest challenges in the next few
announced increases in residential and
years. Work is well underway on securing
commercial rates, outdoor lighting rates and service fees. But in a continued commitment to deploy technology and increase service, Tri-County continues to install new TWACS smart meters, upgrade our distribution system, and investigate new services. In March, Tri-County held a ribbon cutting to celebrate the opening of an addition to the Eatonton district office. The new facility will house a new control center and engineering and operations offices. Putnam County is currently the fastest growing county served by the cooperative. Tri-County’s service area continues to grow
Tri-County EMC’s Senior Staff (left to right) Lee Marsh, Manager of Engineering; Dawn Haskins, VP/CFO; Beverly Smith, Administrative Assistant; Donald Appling, Manager of Construction and Maintenance; and Greg Mullis, VP of Energy Services.
as new accounts are added and consumers continue to add electrical load in homes and businesses. In the past year, Tri-County was also selected to serve a new high school in Putnam County, an
future capacity needs, including biomass
elementary school in Jones County and a
and other renewable energy sources. And
new jail facility in Baldwin County.
Tri-County is influencing change among our employees, our members, our elected officials and the general public in leading energy efficiency and conservation efforts by example.
W
hat is Georgia’s first fuel?
County’s service territory. And the system
Tri-County EMC contends it
is already making an impact by reducing
should be conservation and
Tri-County’s 2008 peak demand.
energy efficiency. “It’s cheaper to conserve energy than to build new power
“Since the air-conditioner is paused for
plants,” says Tri-County EMC CEO C. Hill
only a few minutes at a time, and the
Bentley. ”That’s why we started the No
indoor blower continues to run, most cus-
Sweat Program.” Building one new kW of
tomers don’t know we’ve operated the
coal generated electricity, the capac-
system,” says Energy Services Representa-
ity needed to power ten 100 watt light
tive Jonathan Stewart. “And, participating
bulbs, costs around $4,000. If building a
customers get a $25 rebate every year
new nuclear power plant, the cost per
and savings on future energy costs.”
kW rises to over $8,000. “So by reducing our system’s peaks for energy needs, we
The No Sweat Air-Conditioning program is
can save millions of dollars by delaying or
operated using the cooperative’s modern
eliminating the need for some new power
TWACS (Two-Way Automated Commu-
plant construction.”
nication System) metering system, which communicates through the power lines.
The cornerstone of the No Sweat program
“No Sweat is one example of how we’re
is an air-conditioning demand manage-
using technology to address future energy
ment system that briefly pauses central
needs through conservation instead of the
air-conditioners and heat pumps on hot
construction of new power plants,” says
weekday afternoons from June to Sep-
CEO Bentley. “It’s also an example of how
tember. Since June of 2008, about 1,200 of
we’re partnering with our members to ad-
the No Sweat devices have been enrolled
dress future energy issues together.”
by our members for residences across Tri-
Tri-County EMC’s Jonathan Stewart records data from a central air-conditioner with a newly installed No Sweat switch.
Tri-County EMC’s Michelle Scott inspects newly installed attic insulation at the home of Tim and Sandra McKinney (inset photo).
I
n 2008, Tri-County EMC introduced insu-
Conservation and energy efficiency are
lation rebates as a part of the No Sweat
two of the tools Tri-County EMC is using to
efficiency program. Participating mem-
ensure an adequate supply of energy for
bers earn up to $150 in rebates toward the
tomorrow. “These programs fit together
purchase and installation of attic insula-
very well,” says Vice President of Energy
tion. Some of the first participants were Tim
Services Greg Mullis. “Conservation means
and Sandra McKinney of Putnam County.
changing habits to use less energy. Energy efficiency means using new technology
“We knew we needed to do something
or better practices to use less energy to
with our attic. We were weighing the op-
complete the same function.”
tions when we heard about the Tri-County rebate program,” said Tim McKinney, who
On a small scale example, energy ef-
installed blown cellulose to bring his attic
ficiency might mean replacing incan-
insulation up to R-30. “We can already tell
descent bulbs with compact fluorescent
a difference in the comfort level upstairs.
lamps, which use 75% less energy to create
We’re excited to see what a difference it
the same amount of light. Conservation
makes in our bills.”
means turning those lights off when we don’t need them. “We’re trying to change
The McKinneys are part of a growing
attitudes about energy usage,” says Mullis.
number of cooperative members taking
“We provide extensive training for our en-
steps to make a difference. “We’ve heard
ergy professionals, participate in a national
cooperative employees talk about fu-
task force on energy efficiency and make
ture energy issues, and we’re concerned
every possible tool available to assist our
about it,” says Mrs. McKinney. “We were
members. We need a commitment from
particularly impressed with the notion that
our members to use those tools and to
there’s no one solution to the issue and
change usage habits.”
that all of us have to take part.”
Operation Roundup
W
e all sleep better knowing fire-
With an average contribution of just fifty
men are protecting us. Most
cents per month or six dollars each year,
of the communities served
Operation Roundup raised $76,095 in the
by Tri-County EMC depend on volunteer
last year and $610,000 since the introduc-
firemen. Those volunteers depend on local
tion of the program in 2001. From purchas-
fundraising to provide equipment. In 2008, the Gray Fire Department needed an infrared camera, and thanks to contributions from Tri-County members, the Tri-County EMC Foundation and Operation Roundup, funds were there to help. “When the first Gray Fire Department truck rolls, there’s an infrared camera on board,” says Kevin Milton, a volunteer fireman in Gray. “This infrared camera is the most expensive piece of equipment we carry. It’s there to protect us, to help us fight fires and to help us find victims.” Infrared cameras see temperature dif-
ing basic needs for house fire victims, to
ferences, even through walls, floors or
ensuring that the firemen who respond are
blinding smoke. The primary function is the
properly equipped, Operation Roundup
firefighter’s safety. “We can find the fire
funds are an important and generous way
before we enter a structure, and we can
cooperative members are making a differ-
see firemen or civilians trapped inside.”
ence in our community.
Gray firemen Kevin Milton (background with camera) and Teresa Milton demonstrate an infrared camera.
The following organizations received funds from the Tri-County EMC Foundation since September 2007: American Legion Auxiliary, Unit 523
Baldwin County 4-H Club Baldwin Co. Foster/Adopt Parent’s Association Boys & Girls Club of Baldwin & Jones Counties Changing Stations Ministry (2) * City of Gray Jones County Volunteer Fire Dept. Compassionate Care Clinic Dames Ferry Elementary * Eatonton Police Department * GC&SU American Democracy Project GCSU GIVE Center Georgia Military College Habitat for Humanity of Putnam County* Haddock Baptist Church (2)* Holt’s School Inc. Hope Missions JACOR Foundation, Inc. Jones County 4-H (2) Jones County 4-H SAFE Shotgun Team Jones County DFCS* Jones County Fire Department - Station 5
$600 1,000 750 2,000 6,690 900 1,500 1,000 4,000 1,000 2000 3,000 3,000 5,000 1,250 1,500 2,000 2,600 600 2,500 1,000
KAIROS at Men’s State Prison Lockerly Arboretum Foundation Inc. Maranatha Outreach Inc.* Middle Georgia Community Action Agency Muscular Distrophy Association, Inc. New Corinth GG Baptist Church* New Damascus Baptist Church* New Salem Baptist Church* Northridge Baptist Church* Oconee Area Pregnancy Center (2) Operation Early Intervention Oconee Regional Chapter of Project Linus Putnam County 4-H Club Putnam Elementary Green Thumb Garden Club Santa’s Miracle Fund: GIVE Center Scholarships for eight students* Sincerity Lodge #430 Free & Accepted Masons Union Chapel UMC * Total *denotes application on behalf of individual(s)
1,000 2,500 2,500 3,000 2,400 2,500 2,300 1,000 3,000 2,500 800 1,500 1,500 1,500 2,500 4,000 2,400 1,600 $82,390
Statistical Snapshot
Average Monthly Residential Bill
Average Monthly Residential kWh Usage 1960 1970 1980
1960
319
1970
576
$41.43 $72.28
1990
873
$91.05
2000
1,121
2000 2006
1,229
2006
2007
1,223
2007
Where Your Energy Dollar Goes
1960
15.8%
1970
14.5%
$118.52 $119.86
Meters Per Mile of Line
Operating Costs
Interest & Depreciation
3.50 4.50 5.60
1980
7.00
1990
7.84
2000
Power Costs
Margins
4.1%
65.6%
Residential Cost Per kWh (cents)
2006
7.98
2007
8.05
Total Number of Accounts
1960
2.39
1960
1970
2.31
1970
1980
$11.78
1980
755
1990
$7.60
5.55
1980
1990
8.21
1990
2000
8.12
2000
2006
9.64
2006
2007
9.80
2007
3,055 4,783 8,090 12,580 17,185 20,049 20,751
Tri-County EMC is audited by the independent accounting firm of McNair, McLemore, Middlebrooks & Co., LLP. A complete financial statement may be obtained by calling Tri-County EMC at (478) 986-8108 or 1-866-254-8100, ext. 8108.
Financial Summary
Statement of Operations (for the years ended April 30)
2008
2007
Operating Revenue and Capital
$36,120,250
$34,275,584
Operating Expense Cost of Power Purchased Operating the Electric System Depreciation Interest on Loans Total Cost of Electric Service
24,133,217 5,892,723 2,593,658 2,704,702 35,324,300
22,600,462 5,634,407 2,365,676 2,500,759 33,101,304
Patronage Capital and Operating Margins Non-Operating Margins G&T Capital Credits Other Capital Credits Total Patronage Capital or Margins
795,950 33,932 352,095 213,870 $1,395,847
1,174,280 6,798 331,543 147,154 $1,659,775
2008
2007
Balance Sheet (as of April 30)
Assets Total Utility Plant Less Depreciation Net Utility Plant Book Value
$86,812,107 13,094,919 73,717,188
$79,597,098 13,067,306 66,529,792
Investments in Associated Organizations Cash and Reserves Owed to EMC on Account and Notes Material in Inventory Expenses Paid in Advance Deferred Debits and Other Assets Total Assets
9,063,173 506,245 1,700,448 431,590 27,210 348,399 $85,794,253
8,560,420 556,124 1,825,775 501,569 33,184 370,163 $78,377,027
Equities and Liabilities Consumer Deposits Membership, Patronage Capital, Other Equities Long-term Debt Notes and Accounts Payable Other Current and Accrued Liabilities Non-current Liabilities Total Equities and Liabilities
$944,270 26,059,679 51,719,399 5,993,658 875,645 201,602 $85,794,253
$860,520 25,089,520 45,097,518 6,279,569 857,142 192,758 $78,377,027
Tri-County Electric Membership Corporation P.O. Box 487 Gray, GA 31032 1.866.254.8100 478.986.8100 www.tri-countyemc.com