For the last several months in my managers report, I have been discussing the ensuing decisions and impact of climate change, global warming, and green house gas on electric rates. Unfortunately these are not the only difficult challenges facing our communities and nation.

Our local communities are now clearly competitors in a global economy. Whether its agricultural products, light or heavy manufacturing, or technology- we face many formidable competitors in all sectors of our economy.

An example of this is the recent economic boom in China and India. China’s economy has grown at an average rate of 10 percent per year for the last 10 years. China currently demands about half of the world’s concrete as well as one-third of all steel, one-quarter of all copper, and one-fifth of the global oil supplies. To power this economic growth China adds a new coal-fired plant (outfitted with little or no environmental controls) large enough to power a city the size of San Diego every seven to 10 days.

Mean while the economy of India is growing at an average rate of about 9 percent per year (in contrast, the US economy grew at 2.2 percent in 2007). All of this growth demands vast amounts of basic building resources along with engineering and skilled labor which pushes up prices for materials and equipment everywhere.

In addition prices for crude oil remain at an all time high, exacerbating the cost of all transportation which is a huge factor in serving the needs of expansive country. We are all adversely affected by these circumstances which manifest themselves in higher consumer prices.

While the Board of Trustees, management and staff of Benton REA continue to work diligently and efficiently to maintain stable electric rates, it will take all of us working together to find the smart solutions. After all "That is the Cooperative Way."