In the early days, private power companies provided urban areas with electricity, but rural residents were left in the dark.  The private power companies did not consider it profitable to provide electricity to rural areas.  For rural residents, the cost of getting central station electrical service - even if they could obtain it - was prohibitive.  Working together, local farmers and others created an electric cooperative to supply themselves with power at a cost that they could afford.

It was slow going at first.  The war effort created shortages of both materials and labor.  We needed approval from the “War Production Board” to construct the lines.  Even meters were unavailable.  In June 1944 there were 336 miles of line staked or engineered, and 125 miles of poles had been set.  Two substations, Oaksville and New Berlin, were nearly completed.  In August of that year, 53.5 miles of line were energized with 85 members receiving power.  The Co-op has grown and in 2009, 760.3 miles of line, 7 substations, a 46kV point of delivery station, 12,940 poles, and 4,531 active meters are in place.

Nationwide, there are nearly 1,000 electric cooperatives operating today.  Each one is a locally-owned business enterprise, incorporated under the laws of the state in which it operates.  Consumers who receive service are members and share the responsibility for making it a success.

Otsego Electric Cooperative is unique from other power companies because (1) each member has an opportunity to attend the Annual Meeting and cast a vote in the election of the Board of Directors and any other business that may come before the membership; (2) each member receives ownership equity in the system in the form of capital credits, which are cash repayments to members on a rotating cycle.

Otsego Electric Cooperative, Inc. conducts its business much the same as any other electric utility.  However, the difference lies in the ownership and how the wishes of the owners are carried out.  As owners, our customers really count.

1.  Voluntary and Open Membership – Cooperatives are voluntary organizations, open to all persons able to use their services and willing to accept the responsibilities of membership,  without gender, social, racial, political or religious discrimination

2.  Democratic Member Control – Cooperatives are democratic organizations controlled by their members, who actively participate in setting their policies and making decisions.  Men and women serving as elected representatives are accountable to the membership.  In primary cooperatives, members have equal voting rights – one member, one vote – and cooperatives at other levels are organized in a democratic manner.

3.  Members’ Economic Participation – Members contribute equally to, and democratically control, the capital of their cooperative.  At least part of that capital is usually the common property of the cooperative.  They usually receive limited compensation, if any, on capital subscribed as a condition of membership.  Members allocate surpluses for any or all of the following purposes:  developing the cooperative, possibly by setting up reserves, part of which at least would be indivisible; benefiting members in proportion to their transactions with the cooperative; and supporting other activities approved by the membership.

4.  Autonomy and Independence – Cooperatives are autonomous, self-help organizations controlled by their members.  If they enter into agreements with other organizations, including government or raise capital from external sources, they do so on terms that ensure democratic control by their members and maintain their cooperative autonomy.

5.  Education, Training and Information – Cooperatives provide education and training for their members, elected representatives, managers and employees so they can contribute effectively to the development of their cooperatives.  They inform the general public – particularly young people and opinion leaders – about the nature and benefits of cooperation.

6.  Cooperation among Cooperatives – Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional, and international structures.

7.  Concern for Community – While focusing on member needs, cooperatives work for the sustainable development of their communities through policies accepted by their members.  

Otsego Electric Cooperative, Inc. is committed to making our community a better place to live.  You see, we’re local. Our employees live here and are active in the community because they care about the quality of life where they raise their families. We’re about service, not profits for investors who live in a city far away from here.

We do things like put up fire sirens or set poles for area volunteer fire companies. We perform a “Hot Line Demonstration” to educate school children and fire department personnel about the hazards of high voltage lines.

Your cooperative sponsors a trip for a high school student to visit our legislators in Washington, D.C.  This is a great opportunity for young people to learn about our legislative process and to see our nation’s capitol.

And, we’re involved in the community in many other ways too.