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Vital signs: NRECA'S summary of distribution cooperative data.

Article Excerpt
Vital Signs, first produced in 1985, is an annual analysis of the data reported by rural electric systems, from the end of the previous calendar year. This year's report is based upon 2007 data from 820 distribution systems. All data is treated confidentially and no individual system data is released or published.

The 2007 operating data demonstrate that electric distribution cooperatives continue to have strong financial performance. The financial ratios are favorable and positive. Growth in sales and consumers is higher than for other utilities. While rates have noticeably increased, efficiency and productivity have continued to improve.

Cooperative Sales Growth

Distribution cooperatives sold 390 billion kWh in 2007, an increase of 16.3 billion kWh--or 4.4%--over the prior year. This robust growth exceeded that of the electric utility industry as a whole which saw growth of about 2% in 2007, according to the EIA Electric Power Monthly report published in October 2008. Sales growth is dependent on the number of new customers added, weather and economic conditions. Most cooperative loads are highly residential and more sensitive to weather conditions than economic conditions. Warmer-than-average conditions in 2007 influenced residential demand in opposing ways. U.S. residential energy demand was 3% less during the winter and 8% higher during the summer than what would have occurred under average climate conditions.

During 2007, 320 cooperatives reported kWh sales growth of more than 4.5%; 337 cooperatives experienced sales growth between zero and 4.5%; and 101 cooperatives reported a decline in kWh sales for the year.

Strongest Sales Growth

The map below shows the cooperatives that had sales...