Recently, we have heard one narrative: First, Tri-State Generation and Transmission Association is a big, greedy, and dirty power company – only concerned with profits.

Next, La Plata Electric Association could and should exit from their long-term contract.

And finally, Kit Carson Electric Cooperative and their deal with Guzman Energy provides a blueprint as to how the LPEA can achieve this.

Guzman is an energy broker, they purchase power on the open market, which makes their rates subject to instability. Although they promised a fixed rate, Kit Carson members have had to endure multiple increases in the last two years. What’s more, Kit Carson members are charged a fuel surcharge, which fluctuates with the market – making their rates anything but fixed.

Kit Carson’s buyout from Tri-State was $37 million, ours will likely be $400-$600 million. The interest alone could force LPEA into default, just like KCEC is now.

Guzman recently agreed to buy energy from the Commanche coal-fired station. They say it’s to help Holy Cross Energy (servicing Vail and Aspen) increase their renewable mix. In reality, Guzman needs more reliable base load for their own mix.

Tri-State’s mix includes 33 percent renewables, and each year this increases. It provides more kilowatts of solar to its members than any other cooperative. And with the announcements of a new 100-megawatt solar array at Spanish Peaks, the new 104-megawatt Crossing Trails Wind Farm, and the planned decommission of several coal-fired power plants, Tri-State is working in the right direction. So while Guzman is buying more coal, Tri-State is building more renewables.

Heath Rowe

Durango