The Cooperative Advantage and Why It Matters for URE Members

Across Ohio, investor-owned utilities (IOUs) like AES Ohio, AEP Ohio, and FirstEnergy are dealing with rising costs, rate increases, regulatory scrutiny, and infrastructure challenges.  

Here are some recent headlines. 

• AES Ohio recently secured approval for a 9% rate increase starting in 2026 and filed a three-year plan for additional hikes to fund grid modernization and storm recovery. 
• FirstEnergy, still addressing the fallout from the HB 6 scandal, faced Public Utilities Commission of Ohio (PUCO) orders to lower rates for some customers even as it plans billions in transmission upgrades through 2029. 
• AEP Ohio continues to seek rate adjustments tied to generation shortfalls and transmission costs because of Ohio’s limited in-state generation capacity. 

Obviously, URE’s rates must sometimes increase as well, but these stories highlight the dual priorities of the IOU business model. All Ohio investor-owned utilities must seek PUCO approval for rate changes, operate under corporate separation rules that do not allow them to own generation, and must both answer to shareholders and regulators. With all these competing priorities, where does the consumer stand? 

URE operates differently. That’s part of the cooperative advantage. 

As a member-owned, not-for-profit cooperative, URE sets rates based on the actual cost of delivering safe, reliable power. When we earn more than we spend, we return margins to you as capital credits. Unlike IOUs, URE is not regulated by the PUCO. We are governed locally by a board of trustees elected by our members, ensuring decisions reflect the priorities of the communities we serve. 

Another key distinction is generation. In the late 1990s while the Ohio legislature was considering rules for electric deregulation, Ohio cooperatives were successful in explaining why cooperatives should be allowed to maintain their own generation resources. All URE’s power is purchased through Buckeye Power, the generation and transmission cooperative serving Ohio’s co-ops. Buckeye Power owns and operates Ohio-based plants like the Cardinal Power Plant, along with gas plants and renewables. This ensures dependable capacity for our members and allows us to plan with long-term reliability and affordability in mind. 

However, we still do depend on transmission networks owned by IOUs to deliver power from Buckeye Power’s plants to our substations. Transmission cost increases and regional grid constraints can still affect URE member bills, but we regularly work with legislators, regulators, and transmission companies to keep prices as low as possible. 

That’s part of the Cooperative Advantage. Local control, member focus, and strategic generation ownership all working together to keep power reliable and affordable for the communities we serve. Yes, energy prices are still rising, but you can rest assured that we’re keeping you our top priority. After all, we’re YOUR electric cooperative!