Tri-State reflects on third anniversary of its transformative Responsible Energy Plan

• Not-for-profit generation and transmission cooperative continued progress to add more clean energy, reduce emissions, increase member flexibility, lower wholesale rates and support transitioning communities.
• Tri-State continues to advance its Responsible Energy Plan foundational goal of providing reliable, affordable, responsible and flexible electricity for its members.

(January 17, 2023 – Westminster, Colo.) – Despite challenges during the past year from inflation, solar panel tariff uncertainty, continuing pandemic-related setbacks and supply chain disruption, Tri-State Generation and Transmission Association noted today significant accomplishments in 2022, as it reflects on the third anniversary of its transformative Responsible Energy Plan (REP).

Tri-State announced its REP in January 2020, identifying ambitious but actionable commitments to lead the cooperative’s clean energy transition. It has continued to refine and strengthen that plan to meet its members’ needs for reliable and affordable power, with more clean electricity and expanded energy services.

“Tri-State has continued to make progress in our energy transition while remaining reliable and resilient, and reducing our wholesale rates for members,” said Tim Rabon, Tri-State chairman and trustee for Otero County Electric Cooperative in Cloudcroft, N.M.

“We remain on target to meet the goals of our members for cleaner energy despite the significant challenges our industry faced last year. By 2025, we forecast that 50% of the electricity used by our members will come from clean sources, and then will increase to 70% by 2030,” added Tri-State CEO Duane Highley.

Tri-State made significant progress toward its goals in 2022, including the following:

Increasing clean energy and reducing emissions

• Tri-State filed a landmark, uncontested settlement with more than two dozen parties on Phase I of its Colorado Electric Resource Plan (ERP) in January 2022. A Colorado administrative law judge recommended approval of the settlement in March 2022, with the Colorado Public Utilities Commission (CPUC) approving it in April 2022.
• Tri-State issued “request for proposals” (RFP) in May 2022 for new renewable, storage and hybrid technology resources for 2025-2026 emissions-free generation, receiving more than 270 individual eligible bids.
• Tri-State secured approval from the CPUC to build new transmission lines and other transmission upgrades that will support connecting to 700 megawatts of renewable capacity and improve system reliability.
• More than one-third of the energy Tri-State members used in 2022 came from clean sources, and Tri-State also set a renewable energy penetration peak of 66% in April 2022.
• Through the settlement on Phase I of its ERP in April 2022, Tri-State established a glidepath to reduce emissions associated with wholesale electricity sales in Colorado, relative to a 2005 baseline, by 26% in 2025, 36% in 2026, 46% in 2027, and 80% by 2030.

Increasing member flexibility, reducing wholesale rates

• Tri-State allocated 97 megawatts of “open season” self-supply capacity in May 2022 to three additional members interested in taking a more active role in providing local power in their communities, with a total allocation of 300 megawatts to six members.
• Tri-State reduced wholesale rates to members by 2% in 2022, following a previous 2% wholesale rate reduction in 2021. The rate reduction has resulted in a total savings of $65.8 million for Tri-State utility members between March 2021 and the end of 2022. 

Extending clean grid benefits and beneficial electrification

• Through the settlement on Phase I of its electric resource plan in April 2022, Tri-State worked with stakeholders to establish incremental annual energy efficiency savings targets for Colorado member load of at least 0.35% in 2023, 0.5% by 2024, 0.75% by 2025, and 1% by 2030.
• Tri-State initiated development of a Demand Response platform and programs designed to control at least 4% of Colorado member peak load by 2025.
• Through the heat pump Quality Install program and rebates, Tri-State contributed to the installation of more than 940 air source heat pumps in 2022, with more than 72% of installs either replacing fossil fuel heat or added in new construction.

Commitment to community and employees

• In partnership with state and local leaders, Tri-State is in the process of hiring a facilitator to guide discussions to explore community assistance opportunities for the City of Craig and Moffatt County, in preparation for the retirement of Craig Station by 2030.
• In December 2022, Tri-State announced funds for Craig to assist with future grant-writing efforts.
• Tri-State donated $50,000 for local economic development to the Rifle Regional Economic Development Corporation following the retirement of the 85-megawatt Rifle Generating Station in 2022.

Promotion of organized markets and federal cooperative clean energy legislation

• Tri-State continued to actively participate in multiple efforts to develop an organized power market in the West, as it continues to work toward the greater reliability and affordability available through a regional transmission organization.
• Tri-State collaborated with federal and state government, cooperative, eNGO and other stakeholders to develop cooperative clean energy provisions in the Inflation Reduction Act of 2022, resulting in more $15 billion in funding options and direct pay tax credits to the cooperative industry.

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About Tri-State
Tri-State is a not-for-profit cooperative of 45 members, including 42 utility electric distribution cooperative and public power district members in four states that together 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, 303-254-3555, lboughey@tristategt.org
Mark Stutz, 303-254-3183, mstutz@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.