Alaska Village Electric Cooperative

AVEC Board Approves Fuel Stabilization Plan

February 19th, 2010

Alaska Village Electric Cooperative's (AVEC) Board of Directors, at a meeting held on Monday, February 8^th, approved a plan to stabilize the cooperative's fuel and transportation costs for the years 2011 through 2015.  AVEC subsidiary Microgen Inc. will build two shallow draft tugs and barges specifically designed to serve member villages with both fuel and freight. 

AVEC President and CEO Meera Kohler states, "Because of steep increases in transportation costs over the last few years the Board has decided to invest in assets that will bring at least $2.5 million in cost savings to the members who have seen drastic increases in energy costs since 2007." 

The vessels will be chartered and operated for the term of the contract by Vitus Marine LLC, a newly formed company managed by experienced Western Alaska mariners.

 

 AVEC is a member owned non-profit electric cooperative that serves 22,000 Alaskans in 53 villages.

 

 Vitus Marine LLC is a new company specializing in meeting the bulk transportation needs of Western Alaska maritime communities. Company principals are Mark Smith and Shaen Tarter, who have operated marine assets in Alaska for more than 20 years.

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