In 2016, Flathead Electric Co-op signed a two-phase power purchase agreement with the City of Libby for the advance purchase of electricity generated from the city’s hydro-electric generator, located near the water treatment facility in Lincoln County. Flathead Electric paid the city $122,125 in advance for 2.03 million kilowatt-hours (kWh) of energy to be generated and delivered to the power grid during the first phase.
During Phase II, energy generated will be delivered to metered accounts already associated with the Libby Water Systems Department. FEC General Manager, Mark Johnson, says the deal is mutually beneficial: “Pre-purchasing the energy made the project feasible for Libby and gives Flathead Electric another local source of clean energy.”
Jim Hammons, Chief Administrative Officer for Libby, agrees that the deal is reciprocal: “Flathead Electric gets to diversify its power source and, once our loan is offset, the energy goes toward our own consumption. I want to thank FEC for its tremendous effort in making this project go forward.”