MPD Electric cuts rates 6%, returns $3.3 Million to members
MPD Electric Cooperative recently reduced rates by more than 6% beginning September 1st for its membership, delivering meaningful monthly savings to the households and general businesses it serves across its service territory. The average residential member is expected to save more than $13.50 per month as a direct result of the adjustment.
“Over the past year, our members have felt the pinch of higher electricity prices driven largely by volatile commodity markets with the rising cost of materials and fuel across the power supply chain,” said William L. Fleming, Jr., President and CEO of MPD Electric Cooperative. “Thanks to disciplined financial hedging decisions and strong load growth across our service territory, we made it a priority to pass that relief directly back to our members.”
“This isn’t just a lower number on a bill, it’s a meaningful difference for the families and businesses we serve,” Bo McInnis, Chairman of the MPD Board of Trustees, continued. “Today, every dollar matters. Especially after a stretch where energy costs have been under pressure nationwide, so we’re proud to be able to offer this relief now.”
The rate adjustment comes as MPD Electric Cooperative continues to focus on operational efficiency and targeted growth, allowing the cooperative’s success to pass savings directly back to the members it serves.
In addition to the rate savings, MPD Electric Cooperative also announced the return of more than $3.3 million in capital credits to its membership this year. Capital credits are a hallmark of the cooperative business model, representing each member’s share of the cooperative’s returned margins.
“Returning capital credits alongside a rate reduction in the same year reflects the same financial discipline that shaped our hedging strategy,” McInnis added. “Even in a year shaped by higher costs for everything we touch, we’re able to put money directly back into the pockets of the people and businesses who power our community.”
This year’s return builds on a long track record. Since the creation of MPD Electric Cooperative in 2020, MPD has returned more than $26.1 million in capital credits directly to every rate payer in the form of checks and bill credits, underscoring the tangible, long-term value of cooperative ownership.
Together, the rate reduction and capital credit return represent a significant benefit flowing back to MPD Electric Cooperative’s membership this year. The cooperative said both actions reflect its long-term focus on financial discipline, operational excellence, and its founding mission of providing reliable, affordable electric service to the communities it serves.