AND CEO LETTER

FOR 86 YEARS, INLAND POWER HAS BROUGHT ELECTRICITY TO THOSE WHO WERE PASSED OVER WHEN INVESTOROWNED UTILITIES BEGAN BUILDING THEIR INFRASTRUCTURE AT THE BEGINNING OF THE LAST CENTURY.

As electricity needs continue to expand and we learn to navigate government mandates and new technologies, WE FIND OURSELVES ENTERING A

As a result, experience remain our focus as we strive

Our region continues to see an influx of residents and we are focused on the challenges that come with development and growth. Some critical issues we are confronting include system upgrades and resource adequacy, wildfire risks and vegetation management, mitigating regulatory and legislative mandates on energy policy and maintaining competitive rates. We remain committed to providing our members with reliable, safe and affordable power, while remaining vigilant in addressing these critical issues facing our cooperative.

THE NUMBER OF INLAND POWER MEMBERS CONTINUES TO STEADILY INCREASE. Ten years ago, we served nearly 39,000 members. Today, Inland services almost 46,000 meters in 13 counties within eastern Washington and northern Idaho. That’s an average of 964 new service requests per year, and we are not slowing down. In 2022, almost 1.1 billion kwh were sold and we were able to turn the lights on for 1,400 new residential and commercial services on our lines. This all was completed by only 109 employees.

Resiliency and dependability remain top of mind and importance to Inland Power’s leadership and employees. We continue to make strides on our long-term work plan, which includes critical updates to substations and other infrastructure improvements. In addition to our annual work plan, IT WAS ANOTHER BANNER YEAR FOR COMPLETING NEW SERVICE REQUESTS AND MANAGING OUR FLEET INVENTORY, while achieving other goals highlighted throughout this annual report.

We are proud to say that Inland’s overall financial health is excellent. This success can be directly related to a good fiscal policy established by Inland’s management and the board. After setting aside the BPA prepayment transaction, total assets are $296 million, long-term debt is $74 million and net margins were $2.28 million in 2022. Your cooperative was also able to return $2.5 million through our CA$HBACK program, formally known as capital credits to the membership in 2022.

The Inland Power board of trustees and employees appreciate your membership and the opportunity to provide energy services to you. WE ARE EXCITED ABOUT THE FUTURE AND LOOK FORWARD TO SERVING ALL OF YOU as we enter this new era of energy.