What are capital credits?

  • A cooperative, such as SEMO Electric, is owned by the member-customers it serves.
  • As a member-owner, you share in the profits of the co-op.
  • At the close of each fiscal year, all revenue received in excess of expenses (i.e. profits) is allocated back to the membership in the form of capital credits.
  • This allocation is based on the dollar amount of electricity purchased during the same year.