Electric cooperatives are private, not-for-profit businesses
governed by their consumers (known in Iowa as member-consumers). Two federal
requirements for all co-ops, including electric co-ops, are democratic
governance and operation at cost. Specifically, every member-consumer can vote
to choose local boards that oversee the co-op, and the co-op must, with few
exceptions, return to consumer-members revenue above what is needed for
operation. Under this structure, electric co-ops provide economic benefits to
their local communities rather than distant stockholders.
The majority of co-ops distribute electricity to consumers
through low-voltage residential lines that cover more than 75 percent of the
nation’s land mass. Many of these distribution co-ops, as they’re called, have
joined to create co-ops that provide them with generation and transmission
services. Distribution co-ops also buy power from investor-owned utilities,
public power systems, federal hydropower power marketing administrations and
the Tennessee Valley Authority..
The Cooperative Principles
Cooperatives around the world operate according to a core
set of principles. These principles, along with the cooperative purpose of
improving quality of life for their members, make electric cooperatives
different from other electric utilities. Youth Tour holds a unique niche
by fulfilling both the principles of Concern for Community and Education,
Training and Information.
One of my favorite things we do during Youth Tour is we
spend some time in an interactive, high-energy session learning about some of
the different cooperative and how today’s youth can be part of the cooperative
movement. If you know someone going on Youth Tour this year, ask them what they
learned during this session! They'll have a lot to share!!