List of Energy Co-operatives in Ireland

Co-operatives are subject to less complicated regulations than limited companies. They are democratic in structure and give as much emphasis to sustainability and community building as to the generation of profits and/or benefits to their members. They benefit from their association’s with other co-operatives. A co-op is significantly different from other forms of companies in a way which make it the ideal choice of business structure for community based energy generation projects.

How are Co-ops different from limited companies?

While Co-ops and Limited Companies are very similar in many ways there are a few core, critical differences. Co-ops place a greater emphasis on their transparency and their democratic structures. This means that co-ops often enjoy greater levels of loyalty and sense of community than limited companies. While co-ops are intended to produce benefits and profits for their members, this is often only one aspect of their mission: building long-term and sustainable business and community relationships are often an important aspect to their work.

Similarities between co-ops and limited companies:
◦Same Taxation status
◦They both require audited accounts
◦Both Limited liability (in a co-op this is limited to the value of the share capital owned by the co-op members)
◦Both can issue shares which are inheritable

Main differences between co-ops and limited companies:
◦Co-ops must have at least 8 members but can have unlimited membership
◦Accounts can be submitted annually or tri-annually
◦Limited companies must submit returns in regard to changes of directors and officers
◦Co-ops can adopt model rules of association at very little cost whereas limited companies often incur considerable legal expenses to establish similar rules

Thus there are many similarities between co-ops and limited companies. However, a major advantage for co-ops is that while their means of regulations are equally strict, they are more simplified and less administratively onerous. There are three statutorily recognised bodies charged with facilitating the establishment of co-ops, who charge for this affiliation, but it is not necessary to be affiliated with these to establish a co-operative

Setting up a Co-op

The steps to establishing a co-operative are quite similar to those required setting up a limited company with one or two differences: co-ops are supported by advisory bodies and the procedures are in many ways simpler. However, you shouldn’t forget that co-operatives can be commercial enterprises. Many, but not all, are intended to generate income or benefits for their members.

The main steps in establishing a co-op are:
◦to bring together at least eight people who wish to come together in the enterprise
◦decide on the aims and objectives of the co-op.
◦accept and sign appropriate rules of association for the co-op and submit these to the Companies Registry Office with your fee.

Any private individual, groups or business interested in joining a Kerry Energy Co Operative please contact Transition Kerry.