EnergyUnited will issue refunds this month to its members who, as part of the cooperative, are entitled to shares of the organization’s excess profits. The $3 million in “capital credits” will be distributed across EnergyUnited’s service area, including about 7,000 members in areas south and west of downtown Cornelius and areas north and east of downtown Davidson. The average check: just over $26.
Capital credits are a bit like shares in the cooperative. Members get a share of the profits according to how much they paid the cooperative over a certain time period.
“We distribute capital credits after the cooperative pays its operating expenses, debt obligations, and sets aside a reasonable allowance of capital to accommodate emergencies, such as severe storms, that could cause unexpected damages,” Executive Director H. Wayne Wilkins said.
The $3 million in capital credits this year will be allocated for members who received electric service in 2010 from EnergyUnited and in 1986 from either Crescent Electric Membership Corporation (EMC) or Davidson EMC, which consolidated to form EnergyUnited in 1998.
“If finances allow, we retire capital credits annually,” EnergyUnited spokesperson Natasha Suber said, and 1986 is the earliest year with unretired capital credits.
The average capital credit allocation this year is $26.05, Ms. Suber said. Current members will be issued the returns as credits on their December bills, and former members will receive checks.
This year, 5,460 members in Cornelius and 1,413 members in Davidson will receive credits, Ms. Suber said.