On June 6th, member-owners gathered for EnerStar’s Annual Meeting. The meeting displayed the cooperative difference and celebrated the co-op’s commitment to the local communities it serves.
Board Election Results
Each year, the cooperative membership elects fellow members to serve on the co-op's board of directors. In Voting District A, Jeff Zimmerman of Oakland retired from the board of directors after more than 20 years of service to the co-op. John Henry, also of Oakland, ran uncontested for the open seat. In Voting District B, incumbent Thad Martin of Paris ran uncontested. John Henry and Thad Martin were elected by acclamation at the meeting. Voting District C featured a contested election, in which incumbent director Danny Gard of West Union was re-elected via mail-in ballots sent to District C members.
Proposed Bylaw Changes Approved by Co-op Membership
Members voted to approve a change to the co-op's bylaws regarding how disputes between members and the co-op are handled. The old language was vague, so the updated provision lays out a clear three-step process: first, both parties try to work it out through informal conversation; if that doesn't resolve it, a neutral mediator steps in; and if needed, the matter moves to binding arbitration. The goal is to settle disagreements faster and at a lower cost than going to court — savings that ultimately benefit the membership.
CEO Update
EnerStar's CEO, Angela Griffin, opened with good news before walking members through a forward-looking plan focused on fairness, transparency, and member education.
No Rate Increase Planned
In an era of rising utility costs, EnerStar continues to deliver stability. The cooperative has no rate increase planned in 2026, and leadership remains committed to keeping members informed as the cooperative moves forward.
A Decade of Stable Rates
The numbers tell a steady story. Over the past ten years, EnerStar's average annual rate increase has been less than 1% — compared to an average inflation rate of 3.7% per year over the same period. During that time, the cooperative invested in grid upgrades and vegetation management to improve reliability, reduced long-term debt, and returned equity to members through capital credit refunds.
Those achievements came alongside real challenges. Rising material and fuel costs, ongoing supply chain disruptions, and the realities of serving one of Illinois' most rural service territories — where fewer members share the cost of maintaining infrastructure across a wide geographic area — all added pressure along the way.
Wabash Valley Power Alliance – Our Power Partner
Griffin also addressed how EnerStar approaches power supply. EnerStar purchases its wholesale power through Wabash Valley Power Alliance (WVPA), a not-for-profit Generation and Transmission cooperative. WVPA operates on the same cooperative principles as EnerStar — democratic member control, commitment to rural communities, and a diverse generation strategy designed to protect member cooperatives from high-capacity prices. The partnership reflects shared values, not just a business arrangement.
Two Major Projects Underway
Griffin described the current period at the co-op as a "transition year," with two significant initiatives now in progress.
The first is a Multi-Year Work Plan, which maps out the cooperative's infrastructure and operational priorities over the coming years. The second is a Cost of Service Study, a detailed analysis designed to identify the actual drivers of costs across the cooperative's operations. Together, these projects will give EnerStar the foundation it needs to ensure rates are structured fairly and aligned with the true cost of delivering power to each member.
"This work is about making sure we're running an efficient and equitable system for our members — not about triggering a rate increase," Griffin said. "It is a major tool in the toolbox to make sure we are good financial stewards of our members' assets."
The Concept That Resonated Most: How You Use Power Matters
Not all kilowatt-hours cost the same to deliver — and understanding why was one of the presentation's most important takeaways.
The key variable is demand — not just how much electricity a member uses, but how fast they use it. When members draw heavily at once, the cooperative must have enough power on standby to meet that peak at a moment's notice, and that comes at a cost. It's called a demand charge, and it's based on a member's single highest spike each billing period.
For EnerStar, that cost is already significant. Of every dollar EnerStar collects, more than half goes to wholesale power costs. Of that amount, 26.9 cents covers the actual energy delivered to members, while 23.8 cents covers demand charges — costs driven by less than 24 hours of peak usage in an entire year. "A handful of hours each year drives nearly a quarter of what our members pay," Griffin said. "Managing those peak hours is one of the most important things we can do to control costs going forward."
EnerStar Does Not Currently Have Demand Rates — But the Future May Look Different
At present, EnerStar does not bill members separately for demand. Those costs are bundled within the energy charge. As the Cost of Service Study is completed, the cooperative expects to restructure how rates are designed — separating demand into its own line item so that bills more accurately reflect the true cost of service.
Rate restructuring is not expected to significantly increase revenue for the cooperative but more fairly recoup costs. New rates may give some members greater control over what they pay by shifting when and how they use electricity. Simple changes — like avoiding running the dishwasher, dryer, and air conditioner all at the same time — can meaningfully reduce a household's peak demand and help lower costs for the entire cooperative.
Closing Statement - Looking Ahead
Griffin closed with a message that tied everything together.
"Affordable. Stable. Equitable," Griffin said. "Those three words aren't just a rate philosophy — they're our mission, and they're the promise we make to every member-owner we serve."