Northland Connection January 2024


Managers Report 2024

Positioning Ourselves For The Future

Dave Deihl PCEC General Manager And CEOOur team at PCEC takes pride in serving our members the best way we can. This has taken on many forms as leadership and Board of Directors throughout the co-op’s history have had to adapt to changing technology, economic and political landscapes.

This is no different today as we continue to look for opportunities to ensure the co-op is best positioned for the future.

In December, Platte-Clay sold Platte-Clay Fuels to MFA Oil. Members with Platte-Clay Fuels cards were notified and have the opportunity to continue with MFA fuel discount cards known as PetroCard 24.

Many factors contributed to the sale. We have seen a downward trend in gallons sold in recent years. While the business remained profitable, the increased competition in the marketplace and not having convenience store options made it more difficult to compete.

Additionally, the oil market remains volatile and at some point in the future electric vehicles will impact the industry. Now is a great opportunity to move forward, and we are pleased to do business with MFA Oil. They are a fellow cooperative and have been in the fuels business for nine decades. They also have extensive experience operating unmanned sites, so I know it will be in good hands moving forward.

When Platte-Clay Fuels began in 1998, legislators were considering deregulating the energy industry. PCEC needed to diversify its business model to provide more value to members in the event the energy marketplace became open to more competition. This is when affiliates began propane sales and security services.

Over the next eight years, AECI is looking to add an estimated $1.5 billion in upgrades to transmission and generation in order to ensure our infrastructure can continue to provide the reliable service our members expect.

Deregulation, however, never came about and PCEC ultimately operated and maintained businesses outside of its core expertise. While we are proud of the track record in offering these various services, our core business is and always will be distributing electricity.

We aim to be the best at it, too. So that’s where our focus is, and will be, moving forward.

We have challenges ahead as well. Utilities across the country are dealing with converting to renewable energy sources as political policies are forcing the retirements of traditional fossil fuel baseload power generation. At the same time, we’ve seen demand for electricity continue to soar. Our system has set multiple record peaks in the last couple of years.

Our co-op is fortunate to be a part of an independent generation system that serves only rural co-ops in Missouri and small parts of Oklahoma and Iowa. Our generation provider, Associated Electric Cooperative, Inc. (AECI), is being proactive in controlling our own destiny with the necessary generation capacity to meet our member demand.

Over the next 8 years, AECI is looking to add an estimated $1.5 billion in upgrades to transmission and generation in order to ensure our infrastructure can continue to provide the reliable service our members expect.

One of these additions is expected to be a natural gas peaking plant in Turney, Mo., which is in the planning stage now. This will help increase reliability during times of peak demand and extreme weather.

I believe our co-op is going to be more reliably positioned than much of the country in the future, but it is going to come at a cost. Fortunately, we don’t anticipate a rate increase in 2024, but we are going to have to start evaluating financials beginning in 2025 as bills from our generation and transmission partners will continue to increase to offset new infrastructure needs.

You can be sure that “other” power provider’s costs will also increase as they will be dealing with the same issues. However, they’ll still have to manage profits for their stakeholders. As a cooperative, we will remain in the enviable position of only charging for power at the true cost.

Financially our co-op remains in good shape. The sale of the fuels business will go to offsetting future operating costs of the co-op. My approach is to always be open and transparent with you. And I’ll continue to share in this space how we are best positioning ourselves to meet the challenges of the future.

Dave Deihl Signature

Platte-Clay Moments January 2024

Energy Spotlight


In The News

Member survey being sent out on behalf of the co-op

Be on the lookout for a survey from PCEC — it isn’t spam!

PCEC Member Survey

Sample of how the survey will appear in your email inbox.

Between Jan. 2 – Feb. 28, 2024, Platte-Clay will be sponsoring a survey that is conducted every two years to measure the quality of service provided to you and to ensure we can reliably serve you in the future. This survey will ask several questions about your satisfaction with the cooperative and your energy usage.

In this random survey of members, you may be sent an email invitation to participate in the survey online anytime between Jan. 2 – Feb. 28, 2024. Not every member will receive the survey. The email will come from surveys@cooperativesurvey.com with the subject: Platte-Clay Electric Cooperative Wants to Know What You Think.

The survey helps PCEC determine how effectively we are serving our members. The survey is also used by other electric cooperatives, which helps us see where we stack up in comparison with our peers.

If you have any questions or concerns, please contact us at (816) 628-3121.

Now Accepting Scholarship Applications

Scholarships open to students pursuing degrees in the electric power industry

Opportunity For High School JuniorsDo you know a student interested in or currently pursuing a degree in the electric power industry? Each spring, PCEC awards three $1,000 scholarships to deserving local students.

There will be one winner chosen from each of our three service districts. The scholarship program focuses on students accepted or enrolled in a two or four year accredited college or trade school, and pursuing a career in the electric industry.

This industry is in high demand and there are a wide range of exciting career opportunities available, from engineers to lineman, that offer great compensation and job security.

Applicants are required to fill out a student profile and write a short answer about an attribute or achievement that sets them apart. The deadline for scholarship applications is March 8, 2024.

To apply for a scholarship, the applicant must be a PCEC member or family member and permanently reside within PCEC’s service area. The application is available online at PCEC.coop/Scholarship.

Energy Efficiency Tip
Energy Efficiency Tips Icon

Use rugs to cozy up this winter

Area rugs are an easy, cost-effective solution to cold floors. Adding area rugs to hard-surface flooring can add warmth to any room and keep your feet cozy on cold winter days.

Choose rugs made from wool or other natural fibers and plush or high-pile textures for the most insulation. Place rugs in areas where you need additional warmth, like the foot of a bed or under a coffee table. Area rugs can enhance the aesthetic of your home and keep you cozier.

We Want Your Feedback

Now Seeking Applications For Our Member Focus Group

WWW.PCEC.COOP/FOCUSGROUP

PCEC is looking for members interested in participating in a co-op focus group. Participants meet a few times a year and have the opportunity to provide valuable feedback to staff members while learning more about the cooperative operations. Visit www.PCEC.coop/focusgroup to apply today.

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Northland Connection Newsletter Footer 2024

The Northland Connection is published monthly by Platte-Clay Electric Cooperative, Inc., 1000 W. 92 Highway, Kearney, MO 64060. Postmaster: Please send address changes to: Northland Connection, PO Box 100, Kearney, MO 64060 or mail@pcec.coop.

Platte-Clay is an equal opportunity employer.