The “Cooperative Difference” is referred to as the unique benefits and principles that distinguish a cooperative from other types of organizations, and it’s around this time each year that one unique benefit Pee Dee Electric provides to members stands out.

It’s when our Board of Directors carefully assesses the cooperative’s financial health to consider the possibility of refunding capital credits to the membership. Thanks to successful financial planning and effective cost management, Pee Dee Electric’s Board of Directors is proud to announce that the cooperative plans to refund over $786,000 to the members who received electric service from Pee Dee Electric during 1996! Checks will be mailed to current and former members served by the cooperative during 1996.

If you are new to Pee Dee Electric, you might wonder, “What exactly are capital credits?” Allow me to explain. Pee Dee Electric is a not-for-profit electric cooperative owned by you, our valued members. When you start using electricity from Pee Dee Electric, you become a member of our cooperative family! As a cooperative, we rely on your electric bill payments to cover our daily operational costs. At the end of each year, any surplus funds, also known as margins (similar to profits in other businesses), are allocated to each member’s patronage account based on the amount they paid for our services throughout the year. Essentially, each member’s patronage account represents their ownership stake in the cooperative.

Throughout our cooperative’s history, we have proudly refunded over $19 million to current and former members exemplifying the true spirit of the Cooperative Difference.

These funds are not idle; they are utilized by the cooperative to build power lines and improve utility infrastructure. Doing so reduces the need for borrowing and strengthens our overall financial position. When the cooperative reaches a stable financial state, the Board of Directors makes the decision to refund a portion of these patronage funds to you, our members. This refund is referred to as a “capital credit refund.”

While this is exciting news, you may be wondering about members who joined our cooperative after 1996, and although it may take a bit longer, their turn will come in the future!

Cooperatives like Pee Dee Electric are founded on Seven Cooperative Principles, one of which is “Economic Participation by its Members.” This participation happens every time you pay your electric bill. In return, the cooperative acknowledges economic participation by refunding capital credits to its members at some point in the future. Pee Dee Electric has a long history of refunding capital credits to members. Throughout our cooperative’s history, we have proudly refunded over $19 million to current and former members exemplifying the true spirit of the Cooperative Difference.