Public Power Basics • Customer owned - customers are “shareholders” • Operations/decisions reflect customer values • Dividend to shareholders are low rates • Transparency • Tax Exempt Financing • Exempt from certain taxes • Payments “in lieu” of taxes common
Public Power in Nebraska • 1887 – Crete formed first electric department • 1930 – hundreds of municipalities and 5 holding companies owned 42 electric utilities • 1933 – NE Legislature passed law governing creation of public power districts • 1934 to 1946 – consumers bought out private electric companies – NE Power Company was last purchased and turned into OPPD
Today, Nebraska has 169 utilities owned directly or indirectly by their customers – that’s unique.
Nebraska Power Association • Nebraska Power Association (NPA) was formed 1980 • Provides a forum to resolve and discuss intra-industry issues • Represents all of Nebraska’s publicly-owned, electric utility systems • 15-member Board of Directors
Nebraska Power Association • Learn more at www.NEPower.org
Basic Statutory Structure of Electric Utilities in Nebraska • Provide low-cost, reliable electricity without conflict, competition and duplication of facilities. • Statutory structure focused on consumer-owned utility serving Nebraskans. • Exclusive retail service areas.
Basic Statutory Structure of Electric Utilities in Nebraska • Generally cannot construct or acquire generation or transmission facilities without approval of the NE Power Review Board. • No retail wheeling. • Can’t transfer generation to retail customers in another utility’s retail service area. • Statutes don’t contemplate construction of facilities primarily for export.
Benefits • Low-Cost • High Reliability / Partnerships • Proactive Maintenance
Benefits • Local control • In touch with customers • Less red tape
Benefits • Diverse generation
Renewable Energy • Customers Desire Renewable Energy • C-Beds, LB 1048 • How to Make It Work - Elkhorn Ridge Wind-Bloomfield - Crofton Hills – Crofton - PPA for Energy
Final Take • We’re serious about power • We’re stronger together • We’re servants • We stand by our work • We’re your energy partner …. OPPD