Copper Valley Electric Association, Inc. Market Research Report
Background
Overview
Copper Valley Electric Association, Inc. (CVEA) is a member-owned cooperative established in 1955, dedicated to providing safe, reliable, and cost-effective electric service to its members in the Copper River Basin and Valdez regions of Alaska. The cooperative serves approximately 3,966 member consumers, encompassing both residential and commercial customers.
Mission and Vision
CVEA's mission is to deliver exceptional customer service through safe, reliable, and cost-effective electricity services and programs. The cooperative emphasizes community support, offering various programs, scholarships, and engagement opportunities for local nonprofits and residents.
Primary Area of Focus
CVEA focuses on the generation, transmission, and distribution of electrical energy, operating a diverse mix of power plants, including hydroelectric, cogeneration, and diesel facilities. The cooperative is committed to integrating renewable energy sources to enhance sustainability and reduce environmental impact.
Industry Significance
As a member-owned cooperative, CVEA plays a crucial role in ensuring energy access and reliability in rural Alaska, contributing to the economic development and quality of life in the communities it serves.
Key Strategic Focus
Core Objectives
- Reliable Service: Ensure consistent and dependable electricity supply to all members.
- Cost Management: Maintain affordable rates while managing operational expenses effectively.
- Community Engagement: Foster strong relationships with members through educational programs, scholarships, and community events.
- Sustainability: Integrate renewable energy sources to promote environmental stewardship.
Specific Areas of Specialization
- Hydroelectric Power Generation: Operating two hydroelectric plants, Solomon Gulch Hydro (12 MW) and Allison Creek Hydro (6.7 MW), contributing significantly to the cooperative's energy mix.
- Cogeneration and Diesel Plants: Managing cogeneration (5.2 MW) and diesel plants (Glennallen Diesel: 9.33 MW; Valdez Diesel: 8.7 MW) to ensure energy reliability.
Key Technologies Utilized
- Hydroelectric Systems: Harnessing water flow to generate electricity, providing a renewable energy source.
- Diesel and Cogeneration Facilities: Utilizing diesel fuel and combined heat and power systems to meet energy demands during peak periods.
Primary Markets or Conditions Targeted
CVEA primarily serves the Copper River Basin and Valdez areas, focusing on providing reliable and affordable electricity to rural communities in Alaska.
Financials and Funding
Funding History
As a non-profit cooperative, CVEA's funding is primarily derived from member contributions and operational revenues. The cooperative has not publicly disclosed specific details regarding external funding or investment rounds.
Financial Performance
- Total Revenue (2023): $30,444,676
- Total Expenses (2023): $28,955,855
- Total Assets (2023): $86,378,120
Pipeline Development
Key Projects
- Valdez Duck Flats Pole Replacement Project: Initiated in March 2025, this project aims to replace aging infrastructure to enhance system reliability. The first phase was completed ahead of schedule, with the second phase planned for fall 2025.
Anticipated Milestones
- Completion of Phase II: Scheduled for fall 2025, focusing on replacing poles along the Richardson Highway to improve service reliability.
Technological Platform and Innovation
Proprietary Technologies
- Hydroelectric Generation: Utilizing proprietary designs and technologies in the Solomon Gulch and Allison Creek hydroelectric plants.
Significant Scientific Methods
- Energy Efficiency Programs: Implementing programs to educate members on energy conservation, including providing energy calculators and safety tips.
Leadership Team
Executive Profiles
- Jaime Matthews: Chief Executive Officer
Oversees all operational aspects of CVEA, ensuring strategic alignment with cooperative goals.
- Wayne McKinzey: Chief Operating Officer
Manages daily operations, focusing on efficient energy production and distribution.
- Michael Rego: Chief Plant Operator
Responsible for the safe and efficient operation of CVEA's power generation facilities.
- Sharon Scheidt: Director of Communications
Leads communication strategies, ensuring effective member engagement and information dissemination.
- Todd Stahley: Manager of Operations
Oversees operational teams, ensuring maintenance and reliability of infrastructure.
Competitor Profile
Market Insights and Dynamics
The utility industry in Alaska is characterized by a mix of large investor-owned utilities and smaller cooperatives. CVEA's focus on rural communities and renewable energy positions it uniquely in the market.
Competitor Analysis
- Golden Valley Electric Association (GVEA): Based in Fairbanks, GVEA is a larger cooperative serving a broader region.
- Alaska Power & Telephone Company (AP&T): Provides services in various Alaskan communities, including some overlapping areas with CVEA.
Strategic Collaborations and Partnerships
- Ultra Safe Nuclear Corporation (USNC): In February 2022, CVEA partnered with USNC to explore the feasibility of a Micro Modular Reactor (MMR®) Energy System in Alaska, aiming to diversify energy sources and enhance sustainability.
Operational Insights
CVEA's focus on renewable energy and community engagement differentiates it from competitors, emphasizing sustainability and local involvement.
Strategic Opportunities and Future Directions
Strategic Roadmap
- Renewable Energy Expansion: Continue to invest in renewable energy projects to reduce reliance on fossil fuels.
- Infrastructure Upgrades: Complete ongoing projects like the Valdez Duck Flats Pole Replacement to enhance system reliability.
- Community Engagement: Expand educational programs and scholarships to strengthen community ties.
Future Business Directions
- Micro Modular Reactor Implementation: If feasible, integrate MMR® technology to provide a stable and sustainable energy source.
- Service Area Expansion: Explore opportunities to extend services to neighboring communities, leveraging existing infrastructure.
Contact Information
- Official Website: www.cvea.org
- Social Media: Facebook - Copper Valley Electric Association
