WAYNE & GARFIELD COUNTIES – Garkane Energy Cooperative members will receive $500,000 as part of the organization’s capital credit refund program.
Garkane is different from most Utah utilities because investor-owned utilities keep their profits to build their stock value; municipal utilities keep their revenues to fund administrative operations, while Garkane Energy operating as a cooperative, returns its excess cash to its member owners. As a member, as soon as you use your first kilowatt-hour of electricity, you become a member-owner of Garkane Energy. As a not-for-profit Cooperative, whenever revenues exceed costs, Garkane allocates the excess cash to its member owners as equity. Depending on the cooperative’s financial status, the Board of Directors can return a portion of the members’ equity as a capital credit refund in cash back payments.
“Part of the cooperative “difference” is being not-for-profit and returning excess margins back to our member-owners. Garkane’s Board of Directors and I are committed to returning capital to our members,” said CEO Dan McClendon.
Garkane had another good year financially, and after reviewing the operating budget for 2017, the Board of Directors approved a capital credit refund in the amount of $500,000. Current Garkane members will see a refund on their December bill. Former members, who are eligible, will receive a refund by check in the mail. The amount received is based on the volume and the value of electricity each member has purchased since becoming a member. Over it’s 78-year history; Garkane Energy has returned over $10 million to its members. It’s nice to know that when revenues exceed costs, the difference (the margin) goes back to the members, not to investors. Garkane employees strive to treat you as a valued owner, not just another customer.