Press Release
IDEAL Energy Cooperative hits major milestones as collaborative efforts accelerate
BRENTWOOD, N.H. - October 21, 2024: IDEAL Energy Cooperative, the Nation’s first and only purchasing cooperative for independent fuel dealers, reached multiple milestones as it celebrated its five-year anniversary in October. Composed of 35 core Member-Owners representing over 100 retail fuel provider locations, IDEAL Member-Owners have more than 300,000 customers, and nearly 2,000 employees collectively generating over $720 Million in business revenue.
IDEAL, which is an acronym for Independents Delivering Energy Aligned Locally, was created to support and protect local energy dealers, specifically by securing local fuel (propane, heating oil, diesel fuel, kerosene, gasoline) and HVAC service providers. The goal is to support and sustain independent retail energy businesses by aggregating resources through their multi-stakeholder purchasing cooperative.
“Our Member-Owner and Partner Network elevates operational excellence and efficiency through exclusive networking, intel, panel discussions, and most importantly, cooperative relationships,” said Kris Magnusson, founder and 40-year fuel industry veteran.
Local and regional retail business owners appreciate the support from IDEAL.
“With all of the consolidation going on with retail energy operators, it is great to know that I have a team helping me compete at every level with purchasing, marketing, and best practices,” said Ryan Jackson, of DF Richard, and IDEAL Energy Cooperative member out of Dover, N.H. “It has been a blessing to collaborate with other excellent energy retailers and know that our business is doing all we can for the safety and security of our employees and customers. The IDEAL Energy community is committed to not only my success, but all the members, and it is reassuring to know we are all in this together.”
IDEAL uses a three-pronged approach to support its Member-Owners and Partner Network.
“We aggregate Owners' purchasing power to lower fuel, equipment, and essential business service costs,” said Magnusson. “We represent over 300,000,000 gallons of fuel purchased to help provide local energy security to our communities while elevating our Owners' operational excellence through owner-driven best practices. And finally, we work closely with vetted fuel suppliers, equipment vendors, and business service providers to ensure our Member-Owners save time and money.”
Because IDEAL Energy Cooperative is a member-owned purchasing cooperative, each member-owner gets one vote and buys an equal equity share. There are no annual fees and member-owners receive rebates resulting in annual patronage checks based on their share of purchasing within the Partner Network. The member-owners’ success is a testament to the success of the group.
“We made an initial investment into IDEAL Energy Cooperative, and we’ve quadrupled our investment already,” said Ryan Jackson, of D.F. Richard Energy.
Each year, IDEAL opens up a limited number of Member-Owner spots to ensure they maintain strategic growth through referrals while offering significant value to its Member-Owners and Partner Vendors and Suppliers.
Member-Owners rave about the value of joining IDEAL.
“Everyone’s business is a 24/7 operation these days, but I make it a point to attend IDEAL’s Dynamic Cooperator Groups every month,” said Rick Scheibe Jr. of Chester County Fuel, a Member-Owner out of Malvern, P.A. “IDEAL is an amazing source of information; they helped me enter the propane market confidently, knowing that I have an experienced team of veterans that have my back. There is a team of people who “have been there, done that” and the regular content updates keep me aware of potential issues that could impact my business, and also provide concrete solutions to solve those problems. Each year, I feel more up-to-date and prepared for the winter than in years’ past.”
Created in October 2019 with a dozen Northeast family-owned locally operated delivered fuel and services companies, today the company has more than tripled in size, and is expanding to the Mid-Atlantic and Midwestern areas of the United States. Profitable since 2021 (despite launching just three months before the pandemic), Member-Owners have increased their individual patronage three fold since 2022.
“The deals with the partners, the savings, the return on investment is amazing,“ said Ellery Packard of Packard Fuels LLC. “But I still feel that the absolute most beneficial part of this group is the knowledge and the wealth of experience that people are willing to share with you.”
In 2024, multiple IDEAL milestones were reached, including more than $1 million in rebates earned for Member-Owners, and more than 85% of Member-Owners obtaining a return on their investment through direct savings alone. Savings examples include up to 30% annual savings on health insurance plans, up to 30% savings on credit card processing fees, and locking in $800,000 in savings on fuel purchases.
“I’m getting wonderful rebates,” said Sue Surner of Surner Heating Co., Inc.. “The more we buy, the more everyone uses the vendors, the better buying power I have. I have saved, personally, on my healthcare insurance for my company, $30,000. I like to surround myself with people who are smarter than me and these people are incredible and I’m really proud to be a part of this team.”
These savings directly support local consumers as they are able to save on their fuel purchases, and secure their energy locally.
“We are committed to keeping independent, locally-owned fuel and HVAC service providers thriving so they can continue to provide local energy security to their communities,” said Magnusson. “Without local energy security there is no national energy security. When emergency strikes as we have seen with the back to back hurricanes impacting our fellow Americans in multiple southeastern states, you need boots on the ground, ready and prepared to help. It’s all about keeping privately held local energy dealers available in communities to support the local energy needs of customers. We want these energy providers to thrive, not just survive. That’s the IDEAL way.”
ABOUT
IDEAL Energy Cooperative is a purchasing cooperative of privately held fuel delivery, service, and HVAC energy distributors. They are member-owned and committed to the vitality and profitability of local fuel and service providers by aggregating purchasing power for fuel, equipment and business service with our supplier/vendor partner network. They offer savings, rebates and patronage payouts with no annual fees. The Member-Owner and Partner Network elevates operational excellence and efficiency through exclusive networking, intel, panel discussions, and most importantly, cooperative relationships. IDEALenergycooperative.com
PRESS Contact: Kris Magnusson, krism@idealenergycooperative.com