PSC Approves Big Rivers Power Supply Contract with KyMEA

HENDERSON, Ky. (Dec. 12, 2016) – Big Rivers Electric Corporation is proud to announce the Kentucky Public Service Commission’s (PSC) approval of a ten-year power supply contract with the Kentucky Municipal Energy Agency (KyMEA). Under the agreement signed earlier this year, Big Rivers will provide 100 megawatts (MW) beginning in June of 2019. The supply could also be expanded by an additional 50 MW later in the contract term. In the order released on Monday, the PSC stated that “revenues from the proposed agreement should generate margins that would defray fixed costs that would otherwise be shouldered by Big Rivers’ native load customers.” Native load customers would be the more than 115,000 homes, businesses, and farms served by Big Rivers’ three Member-Owners: Jackson Purchase Energy Corp, Kenergy Corporation, and Meade County Rural Electric Cooperative Corporation. “We’re excited to finalize an agreement that benefits Big Rivers, our Member-Owners, and the KyMEA,” said Big Rivers President and CEO Bob Berry. “It’s another positive step toward locating long-term buyers for our surplus power, and our low costs and high reliability made us favorable during the KyMEA selection process. This contract will help stabilize power prices and ensure competitive rates for members of Kenergy, Jackson Purchase Energy Corporation and Meade County RECC.” KyMEA is an Inter-local Cooperation Agency representing city-owned utilities in Kentucky that terminated their long-term power supply arrangements with Kentucky Utilities Company or other Kentucky municipally-owned electric utilities.  Members of this KyMEA contract include the cities of Barbourville, Bardwell, Benham, Corbin, Falmouth, Frankfort, Madisonville, Paris, and Providence. While Owensboro Municipal Utilities (OMU) is also a KyMEA member, OMU will not initially be an all-requirements participant and will not be a recipient of any of the capacity and energy provided under the Big Rivers contract. In addition to the agreements with Big Rivers, the KyMEA entered into power supply contracts with the Illinois Power Marketing Company, a subsidiary of Dynegy, and the Electric Plant Board of the City of Paducah. Big Rivers Electric Corporation is an electric generation and transmission cooperative headquartered in Henderson, Kentucky and owned by three distribution cooperative members—Jackson Purchase Energy Corporation, headquartered in Paducah; Kenergy Corp, headquartered in Henderson; and Meade County Rural Electric Cooperative Corporation, headquartered in Brandenburg. These member cooperatives deliver retail electric power and energy to more than 115,000 residential, commercial, and industrial customers in portions of 22 western Kentucky counties.   FOR MORE INFORMATION CONTACT: Jennifer Keach                                                                Stephanie McCombs Director Communications and Community Relations          Communications Specialist Jennifer.Keach@bigrivers.com                                         Stephanie.Mccombs@bigrivers.com (270) 844-6153 - office                                                     (270) 844-6116