Every October, cooperatives across the country pause to mark National Cooperative Month, a tradition that dates back to the 1930s and has grown into a nationwide celebration of the co-op business model. It's a fitting time to look at what makes Peninsula Light Co. different from an investor-owned utility and why our members-first structure has powered this community for a century.
A Model Born From Necessity
The modern cooperative movement traces its roots to 1844 in Rochdale, England, where 28 weavers and artisans pooled their money to open a small store selling butter, flour, sugar, and oatmeal. Shut out of fair prices by industrial-age merchants, the Rochdale Pioneers wrote down rules for running their store democratically and sharing its benefits among the people who used it. Those rules evolved into the 7 Cooperative Principles still followed by co-ops worldwide today.
PenLight's own story began the same way. In the 1920s, private power companies saw little profit in stringing wire across the rural Gig Harbor and Key Peninsulas, so investment never came. Local residents decided that if they wanted electricity in their homes and barns, they would have to build it themselves. They organized, selling memberships door to door for cash, notes, and transformer bills. In July 1925, they formed a member-owned cooperative. By December 1926, PenLight was energized with power purchased from Tacoma City Light, and the lights came on.
The 7 Principles, a Century Later
Cooperatives of every kind, from electric utilities to credit unions to grocery co-ops, are built on the same cooperative principles adopted by the International Cooperative Alliance: Voluntary and Open Membership; Democratic Member Control; Members' Economic Participation; Autonomy and Independence; Education, Training and Information; Cooperation Among Cooperatives; and Concern for Community. These are reflected in the thinking that:
- You're not a customer – you're a member and part-owner. There are no outside shareholders demanding a return.
- PenLight is governed by a board of directors who are members themselves, elected by you at our Annual Meeting each May.
- As a not-for-profit, margins are reinvested in the system to provide reliable power and apply technological advancements to improve response.
- We work with other electric cooperatives regionally and nationally, sharing resources and knowledge so every co-op member benefits.
A century after those first memberships were sold door to door, the structure remains the same. PenLight remains a private, member-owned, not-for-profit cooperative governed by the community it serves. This October, as you see Co-op Month mentioned, know that it really is a celebration of a simple idea that took hold right here on the peninsula 100 years ago: neighbors building something together, for each other.