OEC Receives Capital Credit Check From AECI

by JoMarie Ramsey

NORMAN, Okla. — Oklahoma Electric Cooperative (OEC) recently received a capital credit check from AECI Utility Solutions (AECI), reflecting a growing partnership built on shared cooperative principles and mutual support.

The capital credit return came from OEC’s 2024 purchases of electric transformers through AECI, a cooperative utility distributor based in Arkansas. The check represents a return on those purchases, a key benefit of doing business with a fellow cooperative.

“This is the cooperative model in action,” said Patrick Grace, OEC chief executive officer. “When we buy from a cooperative like AECI, we’re not just purchasing equipment, we’re investing in a relationship that brings long-term value back to our members.”

Capital credits are a hallmark of the cooperative business model, where profits are returned to member-owners rather than outside investors. AECI, a co-opowned utility distributor serving five states, shares this philosophy and has prioritized keeping fellow cooperatives like OEC at the front of the line — especially during challenging times like the COVID-19 supply chain crisis.

“We’re a cooperative-owned distributor working with co-ops like OEC to maximize value,” said Jason Allen, the chief commercial officer at AECI. “This check is a tangible way we fulfill our mission to serve members with affordable, responsible solutions.” a broader strategy to strengthen supply chain resilience and ensure consistent member service.

“We’ve had strong partnerships for years and continue to rely on those vendors,” Blackburn said. “But the pandemic taught us the importance of flexibility. Adding AECI gave us another dependable option in a very tough environment.”

One advantage of working with a cooperative supplier is the return of capital credits. Like OEC, AECI is a not-forprofit cooperative that returns excess revenue to its members — in this case, other co-ops like OEC.

“Capital credits are a tangible benefit of cooperative business,” Allen said. “They show how cooperatives prioritize service and shared value, not just transactions.”

OEC began sourcing transformers from AECI’s manufacturing partner, ERMCO Transformers, in late 2023. While the relationship is relatively new, it was forged when global supply chains were under extreme pressure.

“During COVID, lead times on transformers skyrocketed,” said Ryan Blackburn, OEC’s logistics manager. “AECI was able to step in and meet our needs when it mattered most.”

OEC continues to work with several trusted vendors — some for decades — and values those long-term relationships. Adding AECI to the supplier mix was part of

While AECI is a newer supplier for OEC, the principles guiding the relationship are familiar.

“They think the way we do,” Grace said. “It’s not just about the lowest price — value, quality and accountability. And, like all our vendor relationships, it comes down to trust.”

AECI Utility Solutions has served the public power sector for over 70 years, providing materials, construction services and infrastructure support to utilities across five states. The capital credit check delivered to OEC was part of AECI’s broader effort to return value to its cooperative members.

By working with other cooperatives, we ensure we’re being responsible stewards of our members’ investments. The capital credit check represents more than just a return of funds; it directly reduces what we spend on transformers, helping us redirect costs toward other priorities and invest where our members need it most.

As OEC continues to grow, Grace said partnerships — both long-standing and new — are essential to meeting member needs.

“This is just one example of the many strong relationships we rely on,” Grace said. “We’re thankful for every partner who helps us serve our members well.”