One of the advantages of being a member of a not-for-profit electric cooperative is you have a stake in the financial success of the cooperative through capital credits. Each year, Chugach Electric Association, Inc. allocates annual operating margins, revenues remaining after expenses are paid, to members receiving service during the year. These margins are allocated based on the amount of electric service a member purchases each year, compared to the total electric service purchased by all members.
The allocated amounts are called capital credits, and they are used by Chugach to keep the cooperative financially sound and able to provide safe, reliable electric service by investing in substations, poles, lines, and other critical infrastructure. In other words, they are used as operating funds until they are paid back to our members when the financial condition of the cooperative permits, as determined and approved by the Chugach Board of Directors.
By putting money back in the pockets of our members, and not paying profits to distant shareholders, we are keeping money in the local economy. Chugach is proud to support our communities and our members in this way.
Capital credits are yours to keep. Please keep your mailing address updated if you move or no longer receive service from Chugach, so we can keep you apprised of your capital credit activity. Call us at (907) 563-7494 or toll free within the state of Alaska at (800) 478-7494, if you have questions regarding capital credits.