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Southern Illinois Power Cooperative and Norris Electric Cooperative to Execute New Wholesale Power Agreement


News Contact - Southern Illinois Power Cooperative W. Scott Ramsey (618) 964-1448
News Contact - Norris Electric Cooperative Keith McKinney (618) 783-8765

The Norris Electric Cooperative (NEC), board of directors of Newton, Ill., voted on Thursday, April 21 to accept an offer of wholesale power from Southern Illinois Power Cooperative (SIPC) of Marion, Ill. Both cooperatives have been in discussions since May of 2009 evaluating various options for power supply.

SIPC and NEC will complete the required contract documents in the coming weeks with service scheduled to begin January 1, 2013. NEC will continue to be served by Ameren Energy Marketing under their current power-supply contract until December 31, 2012.

“SIPC welcomes Norris Electric Cooperative to our family,” said SIPC President and General Manager W. Scott Ramsey. “Clearly, we will both benefit from this decision. As fellow cooperatives, we have a common goal to provide reliable and low-cost electric power to the members we serve.”

“We are pleased to become a customer of SIPC, which operates with the same cooperative principles as NEC,” said NEC General Manager Keith McKinney. “The new relationship will help NEC by providing a stable low-cost power supply for years to come.”

NEC serves 18,913 members over 4,043 miles of line in parts of Clark, Crawford, Cumberland, Effingham, Jasper, Lawrence, Richland and Wabash counties. The co-op has 64 employees.

NEC has a peak load of approximately 80 megawatts and the co-op serves residential, oil production and agricultural customers.

The new wholesale power arrangement gives NEC the option of converting to an SIPC membership anytime in the first several years of the contract. The contract also includes additional services to assist NEC in some of its operations going forward.

SIPC is a generation and transmission cooperative currently serving seven distribution cooperatives and two municipal utilities which cover 29 counties in southern Illinois. The power cooperative has generation resources in Washington County and Marion, Ill., and a long-term purchase-power agreement from the Southeastern Power Administration in Kentucky and Tennessee. SIPC owns approximately 900 miles of high-voltage transmission lines providing service to over 150 substations in southern Illinois.

SIPC has memberships within Aces Power Marketing, which handles power marketing and portfolio optimization, and the National Renewables Cooperative Organization, which is a renewable energy development cooperative. Both SIPC and NEC are members of the National Rural Electric Cooperative Association of Arlington, Va. and the Association for Illinois Electric Cooperatives in Springfield, Ill.

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