Sam Houston Electric Cooperative is distributing $2.8 million in capital credits to its members on their September electric bills.
“Capital credits are an important advantage to being a member of Sam Houston Electric Cooperative,” said Keith Stapleton, chief communications officer. “Since we are a not-for-profit electric cooperative, when annual revenues are greater than operating costs, the surplus is assigned back to our consumer-members as capital credits.”
The amount of each member’s capital credits is based on how much electricity that member purchased in a given year. Capital credits are then used to build and upgrade the Co-op’s power distribution system.
“If you take a look around the system, you will see capital credits at work in the poles, power lines and transformers that provide safe, reliable and cost-effective electricity to our members,” said Rachel Frey, communications specialist.
When the Cooperative’s financial condition allows, a portion of each member’s capital credits are paid as a credit on September electric bills.
“Unlike investor-owned utilities that pay out dividends to shareholders, Sam Houston EC returns unused capital to our members who use the electricity,” Stapleton said. “We work hard to find the best deals on electricity and operate as efficiently as possible in order save our members money. That’s what being a not-for-profit cooperative is all about.”
Over the years Sam Houston EC has distributed more than $50 million in capital credits.
“This year has been tough for many families due to the COVID-19 pandemic,” Stapleton said. “Sam Houston EC hopes this year’s capital credits distribution on September electric bills will benefit Co-op members.”
