Your Cooperativa Hidroeléctrica de la Montaña

The cooperative emerges as an initiative of the non-profit organization Unidos por Utuado, Inc. While providing emergency assistance to thousands of residents in the mountainous area in the aftermath of Hurricane Maria, the leaders of Unidos por Utuado witnessed the vulnerability of the community due to the lack of resilient and reliable energy in the Cordillera Central region. This situation, caused by an extended electricity outage, triggered a humanitarian crisis. Due to the need in the municipality and with the commitment to serve the residents of the Cordillera Central, the leaders of Unidos por Utuado launched this initiative to reflect the community's focus, determination and vision to assert control over its energy future.

The leadership team of Unidos por Utuado, in collaboration with key allies and stakeholders, began to elaborate an idea of creating Puerto Rico's first electric cooperative that would give the people of the Cordillera Central cost-effective and resilient electricity from renewable sources. The concept of the electric cooperative was based on the reactivation and rehabilitation of the hydroelectric plants located in Caonillas and Dos Bocas. The Unidos por Utuado team started forming a mixed cooperative as there was no law at the time that governed the formation of an electric cooperative. The effort predated Law No. 258 of December 10, 2018 "Law of Energy Cooperatives of Puerto Rico", which then made possible the formation of the Cooperativa Hidroeléctrica de la Montaña as an electric energy cooperative. Unidos por Utuado participated in the Puerto Rico Big Ideas Challenge and was awarded a special prize grant of $100,000 by the Hispanic Foundation and Banco Popular Foundation. Unidos por Utuado used the funds to employ four Project Coordinators to start the first phase of creating the electric cooperative. With another proposal submitted to the ConPRmetidos non-profit organization, Unidos por Utuado obtained $70,000 to hire three solar power consultants to launch the ReEnFoCo project. Finally, a $140,000 grant from the Boston Foundation served as seed funds for the launch of the Cooperativa Hidroeléctrica de la Montaña and for further energy resilience project development and planning. To this day, Unidos por Utuado continues to support development of the Cooperativa Hidroeléctrica de la Montaña as its primary community resiliency project.

Frequently Asked Questions

What is Energy Resilience?

Energy resilience is the ability of an electrical system to tolerate disturbances while continuing to supply energy to consumers. A resilient energy system is one that can quickly recover from major disturbances and provide energy. The four main characteristics of resilient systems are:
Ability to prepare and plan for future events: The expertise of an organization to implement measures in electrical infrastructure or programs managed by the organization to reduce risks to the generation, transmission and distribution of electrical energy in future emergencies.
Event resilience: The ability of the electrical system, including generation and grid infrastructure, to maintain operation in the event of an emergency, hazard, or natural disaster.
Speed of recovery of the electrical power system: How long it takes the organization to restore normal system operations and recover accordingly after a certain level of damage.
Emergency Resilience: The ability of organizations operating and managing electrical generation, transmission, and distribution systems to react to external conditions, such as events arising from a natural disaster or aging infrastructure, or internal conditions, such as administrative decisions or personnel actions, that can affect the performance of the electrical grid.

I didn't know we could form an electric cooperative.

Yes, after the passage of Law 258 of 2018, "Puerto Rico's Energy Cooperatives Act", electric cooperatives can now be formed in Puerto Rico. Cooperativa Hidroeléctrica de la Montaña is the first electric power cooperative in Puerto Rico and was incorporated by the Department of State on August 14, 2019.

Unfortunately, many are unaware of this law and the benefits of creating an electric power cooperative, which shows how the most relevant information does not always reach the most vulnerable populations. To promote the development of electric cooperatives in Puerto Rico, the Cooperativa Hidroeléctrica de la Montaña makes available its experience and documentation to help the most vulnerable communities empower themselves with their energy resources.

How much is the contribution to be a member of the Cooperativa Hidroeléctrica de la Montaña?

The contribution will be $1.00 per Owner-Member and Auxiliary Member. We do not want a contribution to be an impediment for the residents of Adjuntas, Jayuya and Utuado to enjoy and benefit from the projects offered by the Cooperativa Hidroeléctrica de la Montaña.

If I want to be part of the Cooperativa Hidroeléctrica de la Montaña, what do I have to do?

According to Article III, Section 3.2, of the Regulations of the Cooperativa Hidroeléctrica de la Montaña developed by the Board of Directors, the Owner-Partner's admission shall be based on the following:
1. Possess the legal capacity to be a member of the Cooperativa Hidroeléctrica de la Montaña.
2. Reside, own a residence or have a business in the areas of service provision, as established in the agreements or contracts of the Cooperativa Hidroeléctrica de la Montaña.
3. Sign a contract to receive the electrical services of the Cooperativa Hidroeléctrica de la Montaña.
4. Support the Cooperative and keep up to date with its financial obligations.
5. Agree with the mission, vision and purposes of the Cooperativa Hidroeléctrica de la Montaña.
6. Comply with the requirements set forth by applicable laws and regulations, by the Cooperativa Hidroeléctrica de la Montaña in its Regulations and Incorporation Clauses, and others established by the Board of Directors.
7. Have no conflict of interest with the Cooperativa Hidroeléctrica de la Montaña.
8. Submit the required information and documents together with the application for admission of Owner-Partners established by the Cooperativa Hidroeléctrica de la Montaña.
9. Have and maintain an electrical system suitable to properly receive services from the Cooperativa Hidroeléctrica de la Montaña.

The Board of Directors determines priorities, where the cooperative will operate, and the services it will provide while developing the projects of the Cooperativa Hidroeléctrica de la Montaña. The Board of Directors of the Cooperativa Hidroeléctrica de la Montaña — referencing the eligibility criteria for Owner-Member — will extend an invitation to be an Owner-Member of the Cooperativa Hidroeléctrica de la Montaña to residents in the service area.

How can I help the Cooperativa Hidroeléctrica de la Montaña?

You can help us identify community leaders in each neighborhood in the four municipalities and refer them to our website and social media channels. If you are a community leader, you can write to us at: hello@cooperativahidroelectrica.coop. We want to organize and hold meetings in each neighborhood to inform and organize residents of the Cordillera Central about the efforts of the Cooperativa Hidroeléctrica de la Montaña. We are looking for community leaders who want to serve as spokespersons for the Cooperativa Hidroeléctrica de la Montaña's initiatives.

Who will benefit financially from this project or cooperative?

Residents in the service area of the Cooperativa Hidroeléctrica de la Montaña are the sole economic beneficiaries of this project, currently the residents of the municipalities of Adjuntas, Jayuya, Lares and Utuado. As a cooperative, the Board of Directors is committed to the project becoming a source of direct and indirect employment for residents of the municipalities. In addition, the Owner-Members of the Cooperativa Hidroeléctrica de la Montaña will benefit from more cost-effective electricity.

If the development of the Cooperativa Hidroeléctrica de la Montaña is successful, will the beneficiaries be able to disconnect from the Puerto Rico Electric Power Authority?

Yes, the Cooperativa Hidroeléctrica de la Montaña will be in charge of providing the requested services.

Where are we as an electric cooperative?

Currently the Cooperativa Hidroeléctrica de la Montaña is incorporated by the Department of State. The next step would be certification as an Electric Power Service Company by the Puerto Rico Energy Bureau.

The Hidroenergía Renace project of the hydroelectric consortium led by the Cooperativa Hidroeléctrica de la Montaña has been approved to move to the second phase of Request for Proposals (RFP) before the Authority for Public-Private Partnerships, to rehabilitate and manage the hydroelectric plants of Caonillas and Dos Bocas. The electric cooperative has launched the first phase of the ReEnFoCo project with the Microgrid of Castañer.

How much will I pay?

What you are going to pay depends on what relationship you have with the Cooperativa Hidroeléctrica de la Montaña.

For example, if you are a recipient of a photovoltaic system provided by the ReEnFoCo project you will pay a fixed fee depending on the size of the photovoltaic system you receive. The Cooperativa Hidroeléctrica de la Montaña hopes to offer a rate that is equal to or less than the Electric Power Authority but with better service and energy resilience in the face of natural disasters.

When the Cooperativa Hidroeléctrica de la Montaña is managing the Caonillas and Dos Bocas hydroelectric plants, and the cooperative will distribute wholesale energy to residents in the service area, then those Owner-Partners will receive a bill for their consumption measured in kilowatt hours in a similar way that they receive from the Puerto Rico Electric Power Authority. Of course, this charge does not include additional expenses or costs beyond the control of the Cooperativa Hidroeléctrica de la Montaña such as: cost to maintain the electricity distribution network, charges related to the wheeling of energy imposed by the Puerto Rico Energy Bureau, and the debt of the Puerto Rico Electric Power Authority imposed by the Fiscal Control Board and approved by the Federal Court.

The big difference is made at the end of the year when the cooperative reviews its profits (or losses) and as a non-profit organization divides the benefits or costs by all the Owner-Members of the Cooperativa Hidroeléctrica de la Montaña. If the cooperative — as a collective — manages its expenses effectively, this reconciliation at the end of the year may represent a refund of the surplus of the Cooperativa Hidroeléctrica de la Montaña.