Powering Value
Built for Today. Ready for What’s Next.
At Rappahannock Electric Cooperative (REC), everything we do reflects our commitment to you — our member-owners. In 2025, REC focused on delivering reliable service, protecting affordability, supporting responsible growth and strengthening the value of membership.
While the world continues to change, REC remained focused on what matters most: reliability, affordability, growth and value through your membership.
Every decision was guided by a simple goal: powering value today while preparing for what comes next.
A Message from REC Leadership
Board Chairman Christopher G. Shipe and President & CEO John D. Hewa open REC’s 2025 Annual Report with a message about powering value for members today while preparing for what comes next.
Their letter reflects on REC’s focus on reliability, affordability, growth and member value — and the responsibility to make thoughtful decisions in a time of rapid change.
“Thank you for your trust, your engagement and your membership.”
RELIABILITY
With reliability at the core of our mission, REC continued investing in the electric system to keep power flowing safely and efficiently. In 2025, we completed 48 major grid improvement projects, inspected 48,097 service points and used drones to inspect more than 40,000 overhead assets.
Alongside fieldwork, crews and contractors replaced 6,402 poles, maintained more than 1,800 miles of right-of-way and removed over 2,400 hazard trees. These efforts help reduce outages by addressing issues before they disrupt service.
REC also strengthened the communications backbone that supports a more reliable grid. Our Fiber Utility Network has connected 64 substations, improving system visibility, field communications and restoration coordination.
These investments paid off during early 2026 storms, when REC’s system and crews responded quickly and effectively. Reliability does not happen by chance — it is planned, built and maintained every day.
AFFORDABILITY
Cost matters — especially for families, those on fixed incomes and small businesses. In 2025, REC stayed disciplined in operations and looked for smart, innovative ways to save members money.
REC delivered measurable results, including more than $200,000 in grant reimbursement from the U.S. Dept. of Energy's Grid Resilience and Innovation Partnerships (GRIP) and almost $3.8 million in lease revenue from fiber and joint-use agreements with partners like Verizon and internet service providers.
A record number of members participated in the Summer Savings Plan, reducing energy use during high-cost peak hours. Together, they helped REC avoid $335,287 in wholesale power costs while earning monthly bill credits.
Through BrilliT and Hyperscale Energy Services, REC is also finding new ways to reduce costs and protect members from unnecessary cost shifting. We remain focused on delivering reliable and affordable power.
GROWTH
REC is powering value by supporting regional growth that brings opportunity to our communities. In 2025, REC connected nearly 4,000 new member-owners across its 22-county service territory.
That growth includes new homes, expanding businesses and major economic development projects. REC supported projects such as Kalahari Resorts in Spotsylvania and AstraZeneca’s $4.5 billion pharmaceutical manufacturing facility coming to Albemarle County.
As demand for electricity accelerates, REC is planning ahead to protect reliability and affordability. Our approach is clear: growth should pay for growth.
Through Hyperscale Energy Services, large-load members fund the infrastructure needed to serve them. This protects residential members from subsidizing large-scale growth while helping keep the system strong for the future.
MEMBER VALUE
Being a member-owner of REC means more than receiving electric service. It means access to tools, programs and financial benefits designed to help you manage costs and improve your quality of life.
In 2025, REC returned $8.1 million in capital credits to members. As a not-for-profit cooperative, margins are returned to members, not shareholders.
REC also supported the communities members call home. In 2025, the Cooperative supported more than 400 community events and through Project Big Heart, gave back more than $376,000 to local communities via donations, sponsorships, scholarships, and the annual Youth Tour.
Through The Power of Change, members generated $237,000 in grants to 71 nonprofit organizations across REC’s 22-county service territory. Member value is real impact — reliable service, meaningful savings and stronger communities.
2025 Financials
