Tri-State, members announce innovative Bring Your Own Resource program 

• Members can self-supply up to 40% of requirements through their owned or controlled projects. 

• Tri-State will support members by integrating projects into its multi-state system. 

• Increasing member flexibility is a major step in Tri-State's member-driven energy transition. 

(June 7, 2024, Westminster, Colo.) Electric cooperatives across the West that are members of Tri-State will have increased flexibility to supply up to 40% of their power needs through an innovative Bring Your Own Resource (BYOR) program filed today with the Federal Energy Regulatory Commission (FERC).  

The BYOR program is the result of significant guidance and input from Tri-State's member electric cooperatives and public power districts, which will have increased flexibility to build, own, or contract for their own energy projects, many of which are expected to be renewable. Tri-State will enter into a supply agreement for the power from the projects and integrate the energy into its larger system, with the member credited for the power sales and any environmental attributes from renewable energy projects. 

“The Bring Your Own Resource program increases member flexibility, leveraging the strengths of our members and Tri-State with an innovative approach demonstrating the unique value of our cooperative business model,” said Duane Highley, chief executive officer of Tri-State. “Together, we’re pairing our members’ development of their own projects with Tri-State's ability to reliably and cost effectively integrate projects into our larger, multi-state system.” 

Member engagement was central to the development of the BYOR program. Tri-State worked with members to design the BYOR program concept and structure to best meet members’ needs.   

“We are thrilled about the prospect of developing a sizable renewable project, one that promises to create a lasting legacy for our members. This endeavor is more than just a project; it’s a commitment to a future shaped by our collective vision and dedication to a brighter tomorrow,” said Jeff Wadsworth, president and chief executive officer of Poudre Valley Rural Electric Association (Fort Collins, Colo.). “By working together with Tri-State to introduce a ‘bring-your-own-resource’ option, we envision a future where a dependable and greener grid aligns with the cooperative spirit guiding us forward for the benefit of our members.” 

"High Plains Power is excited about the prospects of the Bring Your Own Resource program and the benefits it could provide to our membership," said Darick Eisenbraun, chief executive officer of High Plains Power (Riverton, Wyo.). 

Under the BYOR program, members can individually or together propose projects during a regular program cycle for assessment by a third-party evaluator for reliability, economic and environmental criteria. If a project passes evaluation, the member contracts for the resource, and Tri-State enters into a supply agreement with the member for the resource output. The 2024 program cycle cap is 350 megawatts (MW) for resources coming online in, or prior to, June 2028. To ensure reliable service, participating members will continue to take all-requirements service from Tri-State under their existing Wholesale Electric Service Contracts. 

Increasing member flexibility advances Tri-State's member-led energy transition 

“Increasing flexibility for members is an important part of Tri-State’s energy transition,” said Dennis Herman, general manager of Highline Electric Association (Holyoke, Colo.). “By working together, we’re advancing an innovative option for members that want to significantly expand their own renewable resources.” 

The BYOR program, and the flexibility it provides members, marks a major milestone in Tri-State’s multifaceted, member-driven energy transition, first announced in January 2020, which now includes: 

• Achieving 50% renewable energy used by members in 2025, rising to 70% in 2030. 

• Reducing Tri-State’s greenhouse gas emissions 89% in Colorado, and 55% systemwide, in 2030. 

• Bolstering system reliability and resilience, even in extreme weather events. 

• Maintaining competitive wholesale rates for members. 

• Participating in the Southwest Power Pool Regional Transmission Organization West launch in 2026. 

• Extending clean grid benefits to members through electrification, efficiency and demand management. 

• Securing federal funding to accelerate the energy transition and enhance member and consumer programs.

• Supporting employees and communities affected by the energy transition. 

“Our members’ ownership of Tri-State is delivering more value than ever before, and we’re just getting started,” said Highley. “Working together, we’re competitively positioned to serve rural communities reliable, affordable and responsible power and services for the decades to come.” 

Program marks significant change from the previous approach to increase flexibility  

“The Bring Your Own Resource program creates greater opportunities for Tri-State's members to develop renewable projects and does so more effectively than the previous approaches," said Chris Martinez, executive vice president and general manager, and Tri-State board director, for Columbus Electric Cooperative (Deming, N.M.). 

For several years, Tri-State and its members have been evaluating options for members to have more control over their power supply options. A partial requirements contract and buy-down payment methodology tariff was filed with FERC in 2020, and subsequently withdrawn in 2023 to expedite the consideration of a new approach for delivering member flexibility. Beginning in the fall of 2023, Tri-State staff brought the initial concept for BYOR to the members, and the ultimate BYOR Program option was developed and advanced through this process.  

“SMPA is hopeful we can continue work with our fellow co-ops and Tri-State to help ensure the Bring Your Own Resource program option provides the flexibility that our members need,” said Brad Zaporski, chief executive officer and general manager of San Miguel Power Association (Nucla, Colo.), one of six Tri-State members that were allocated self-supply capacity under the previous approach.   

The tariff filed today with FERC details the terms, conditions, and related agreements for the BYOR program, including project proposal requirements, the evaluation criteria and process, program cycle timelines, available capacity under the BYOR Program, and the frequency of program cycles.  Tri-State expects a response from FERC within 60 days. 

About Tri-State

Tri-State is a power supply cooperative, operating on a not-for-profit basis, serving electric distribution cooperatives and public power district members in four states. Together with our member-owners, we deliver reliable, affordable and responsible power to more than a million electricity consumers across nearly 200,000 square miles of the West. For more information about Tri-State, visit www.tristate.coop .  

Contact 

Lee Boughey, Vice President, Communications, (720) 670-6696, Lee.Boughey@tristategt.org 

Mark Stutz, (303) 254-3183, Mark.Stutz@tristategt.org@tristategt.org 

Certain information contained in this press statement are forward-looking statements including statements concerning Tri-State’s plans, future events, and other information that is not historical information. These forward-looking statements are subject to a number of risks, uncertainties and assumptions, including those described from time to time in Tri-State’s filings with the Securities and Exchange Commission. Tri-State’s expectations and beliefs are expressed in good faith, and Tri-State believes there is a reasonable basis for them. However, Tri-State cannot assure you that management’s expectations and beliefs will be achieved. There are a number of risks, uncertainties and other important factors that could cause actual results to differ materially from the forward-looking statements contained herein.