Capital Credits

A primary difference between an investor-owned company and a cooperative, such as ourselves, is that we operate with a not-for-profit business model, owned by the member-consumers we serve. An investor-owned (for-profit) company gives excess revenue (dividends) back to its investors, or to those that own stock in the company.  When you pay your Egyptian Electric bill each month, you are accumulating equity in your cooperative through capital credit allocation. Margins in excess of the cost to serve members are utilized as operating capital. When the cooperative has a positive margin (excess of income over expenses), the margin is allocated through a capital credits system according to each member’s usage. You will receive an allocation notice each year, usually mid-year, that you have service with us.

Members are assigned an individual capital credit account, separate from their billing account. Capital credits are refunded when the board determines that it will not jeopardize the financial condition of the Cooperative, and refunded in accordance of the Cooperative by-laws. When capital credits are issued, we will mail a check to you at the address we have on file. It is important that you keep your address up-to-date with us even if you move off our lines so that we can find you when a retirement is made.

Our board of directors established a policy that allows discounted capital credit payouts for deceased members.  If a former or current cooperative member has passed away, Egyptian Electric should be contacted by a relative or other legal representative, so that the remaining funds in their capital credit account can be properly dispersed.  Contact our Capital Credits Coordinator to learn more or if you have any questions. 

Unclaimed Capital Credits

Sometimes when a distribution of Capital Credits is made, past members of the cooperative cannot be found. When this happens, these Capital Credits are placed in an Unclaimed Capital Credits account. If you know of or are related to anyone that may have distributed Capital Credits due them, please call us at 800-606-1505 or email us at