United Power Announces Wholesale Power Agreement with Guzman Energy

Denver-based firm to provide key power block for co-op’s future needs

United Power, Inc. (United Power) an electric cooperative serving Colorado’s northern Front Range, and Guzman Energy (Guzman), a wholesale power provider dedicated to developing portfolios that meet their clients’ need for economical, reliable power, announce the signing of a 15-year contract to deliver wholesale power to the cooperative.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20230705296526/en/

Names Left to Right: Jeffrey M. Heit, Principal, Managing Director, Guzman Energy; Robin Lunt, Chief Commercial Officer, Guzman Energy; Christopher Miller, Co-founder and CEO, Guzman Energy; Mark A. Gabriel, President and CEO, United Power; Beth Martin, Board President, United Power (Photo: Business Wire)

The power supply agreement features fixed wholesale power pricing that provides the cooperative predictable and stable power supply costs. Under the agreement, Guzman will deliver approximately one-third of the cooperative’s power needs, beginning in May 2024.

“As we move forward with our plan to diversify our power portfolio, this contract is an important part of our strategy,” stated Mark A. Gabriel, President and CEO of United Power. “Guzman has an excellent track record of providing economical resources for cooperatives, and their commitment to integrating renewables will help us control costs while still keeping our eye on environmental impacts.”

United Power’s planned exit from its current power contract will take place May 1, 2024. The move was motivated by a desire to stabilize power costs and provide greater flexibility to the cooperative and its members.

“Wholesale power continues to be United Power’s largest expense, accounting for over 70% of our costs,” stated Gabriel. “Having more predictable power purchase costs will offer many benefits to United Power members today and into the future.”

“We are proud to contribute to United Power’s efforts to reduce power supply costs, gain greater control over generation mix, and contribute to more local, sustainable energy,” said Robin Lunt, Chief Commercial Officer at Guzman Energy. “We look forward to continued opportunities to support United Power and other cooperatives’ success.”

United Power serves nearly 110,000 meters and maintains and operates over 6,500 miles of distribution line. The 900-square mile service territory wraps around the north and west borders of the Denver International Airport and includes the north metropolitan development corridors along Interstate 25, Interstate 76, State Highway 85, and E-470. As a result of its geographic location, United Power’s system is experiencing significant demand and energy growth, averaging approximately 6% annually.

To learn more about United Power’s power supply transition, visit www.unitedpower.com/powersupply.

About United Power

United Power is a member-owned, not-for-profit electric cooperative, delivering electricity to homes, farms, and businesses throughout Colorado’s northern Front Range. The cooperative is one of the fastest-growing electric co-ops in the nation, and in June 2021 joined the elite ranks of cooperatives serving more than 100,000 meters. The 900-square mile service territory extends from the mountains of Coal Creek and Golden Gate Canyon, along the I-25 corridor and Carbon Valley region, to the farmlands of Brighton, Hudson, and Keenesburg. United Power is also a founding member of the NextGen Cooperative Alliance, which is dedicated to expanding the power supply and procurement options available to distribution co-ops and reforming the traditional generation and transmission business model. For more information about United Power, visit www.unitedpower.com or follow the cooperative on Facebook, Twitter, LinkedIn, YouTube, and Instagram.

About Guzman Energy

Guzman Energy is a wholesale power provider dedicated to communities in search of affordable and reliable energy. We partner with cooperatives, municipalities, companies, and tribes across North America to customize energy portfolios that make economic and environmental sense for today and tomorrow. Together, we are lighting the way forward. Visit www.guzmanenergy.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230705296526/en/