On Wednesday, La Plata Electric Association (LPEA) announced it had successfully completed its energy supply transition, formally departing Tri-State Generation and Transmission Association and joining the Southwest Power Pool (SPP) Regional Transmission Organization, effective April 1.
With this transition, LPEA expects to achieve an additional 20 percent reduction in greenhouse gas emissions, while delivering lower wholesale power costs, greater reliability and increased local control for its members.
“This is a defining moment for our cooperative,” said Chris Hansen, CEO of LPEA. “We’ve built a power supply portfolio that is more flexible, more local, more resilient and more affordable while staying grounded in our mission to serve our members.”
A board-led decision
The transition follows a multiyear effort led by the LPEA Board of Directors to secure a more sustainable and cost-effective energy future.
“This is exactly why we made the decision to leave,” said board president Nicole Pitcher. “I was proud to be part of that board vote, and we’re already seeing it pay off for our members with lower costs, stable rates and a cleaner, locally controlled power supply.”
Lower costs and rate
stability for members
Through its new power supply strategy and participation in SPP’s competitive wholesale market, LPEA expects to realize more than a 10 percent reduction in wholesale power costs. These savings allow LPEA to hold base rates stable for 2026, even as broader power supply costs across the region have increased.
“Affordability is a long-term commitment,” Hansen said. “This transition gives us the tools to manage costs responsibly while continuing to improve service.”
Part of a broader
cooperative movement
LPEA joins a growing number of electric cooperatives that have successfully transitioned away from Tri-State to pursue more flexible, locally responsive energy strategies, including:
• Kit Carson Electric Cooperative (New Mexico) — departed in 2016.
• Delta-Montrose Electric Association (Colorado) — departed in 2020.
• United Power (Colorado) — departed in 2024
• Mountain Parks Electric (Colorado) — departed in 2025.
Additional cooperatives have provided unconditional notice of withdrawal over the past several months:
• Chimney Rock Public Power District (Nebraska).
• Panhandle Rural Electric Membership Association (Nebraska).
• Roosevelt Public Power District (Nebraska).
• Jemez Electric (New Mexico).
• Wheat Belt Public Power District (Nebraska).
Strengthening reliability and flexibility
By joining SPP, LPEA gains access to a broader, multistate energy market and transmission network enhancing reliability, improving efficiency, and increasing long-term flexibility.
As part of SPP’s regional system, LPEA will:
• Strengthen reliability through access to a larger grid and more diverse energy resources.
• Optimize power costs in real time through competitive wholesale markets.
• Maintain local control over resource decisions and rates.
• Support future growth through coordinated regional transmission planning.
“This move gives us access to tools and flexibility we simply didn’t have before,” Hansen said. “It strengthens reliability today and positions us for the future.”
Looking ahead
This transition marks a new chapter for LPEA — one focused on local control, innovation and long-term value.
Members can expect continued investment in local energy resources, expanded programs to manage energy use and costs, and a system designed to adapt to the region’s evolving needs.
“We are building the future grid for Southwest Colorado,” Hansen said. “And we’re doing it in a way that puts our members first.”
CommunityPowerX set for April 23
To help members better understand what this transition means for reliability, costs and the future of the grid, LPEA will host CommunityPowerX: The Regional Energy Future Forum on April 23 at the Durango Arts Center.
The public event will bring together regional energy leaders to discuss the future of the grid, how new energy resources work together and what members can expect in the years ahead.
“This transition is just the beginning,” Hansen said. “CommunityPowerX is an opportunity for members to ask questions, hear directly from experts and be part of the conversation about our energy future.”
Members are encouraged to attend. Additional details and registration information are available at LPEA.coop.
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