Each co-op depends upon its members to provide the necessary funding or equity for operation.
The Rochdale “Principle on Financial Structure” states:
“Members contribute equitably to the capital of their cooperative and share in the results of its operation. Usually, at least a portion of a cooperative’s capital is owned collectively, intended to further the long-term purposes for which the cooperative exists.”
The program by which members contribute this equity is known as Equity Ownership or Capital Credits.
- Equity/Capital Credit ownership is the dollar value of your investment in PSREC.
- Each year, a percentage of what you pay for electricity is credited to you as capital credits (or equity).
- Your personal account reflects the total percentages credited to you over the life of your PSREC membership.