In late February 2025, I joined a cooperative studies tour of Costa Rica led by the International Centre for Cooperative Studies of St. Mary’s University in Halifax, Nova Scotia and the Cooperative Management Program of Universidad FUNDEPOS in San Jose. Twenty-three participants spent two weeks learning about cooperative businesses in Costa Rica.

For many Americans Costa Rica is an ideal tourist destination – beautiful mountains, gorgeous coastlines, brilliant flora and fauna and, of course, wonderful people. Costa Rica is also a thriving environment for cooperatives.

I was honored to participate with a highly diverse group to study the role of cooperatives in the Costa Rican economy. Along with participants from the U.S. and Canada representing consumer cooperatives, we were joined by two leaders of the Cooperative Academy of the Ukraine working on cooperative development under the harsh conditions of war, four individuals representing African credit unions (Savings and Credit Cooperative Societies) and the African Cooperative Development Foundation (ACDF). Five university professors who teach cooperative management also joined the tour.

There are currently 900,000 members-owners of Costa Rican cooperatives representing 21% of the population. They operate in most sectors of the Costa Rican economy – from banking and insurance, agriculture and food, electrical service, education, housing and construction with origins reaching back to 1907.

The cooperatives we visited are strongly committed to achieving the United Nations Sustainable Development Goals (SDGs). Collectively, Costa Rican cooperatives have reached 60% of SDG goals across all 17 SDGs. This includes quality education, affordable and clean energy, decent work and climate action. Many spoke specifically about their commitment to the circular/regenerative economy in achieving 100% sustainability in production and consumption of goods and services. Many are certified carbon neutral.

Here are a few examples of their work:

· CoopeTarrazu, with 5,000 coffee farmer members is the largest coffee co-op in Costa Rica (of which there are many). The cooperative currently partners with the Universities of Bologna, Costa Rica, Stuttgart and Maryland on research to achieve 100% sustainable coffee production and consumption.

· Apacoop, whose farmer members produce and export avocados, granadilla (passion fruit) and pineapples, is pioneering in the development of natural fences that are secure without the need for barbed wire.

· Coopesa is an employee-owned cooperative that does commercial aircraft maintenance (full overhaul) on Boeing 737s and Airbuses. Located at the San Jose airport, the cooperative has maintenance contracts with many of the world’s most recognized airlines.

· Dos Pinos, a major globally recognized brand, offers 40 varieties of milk and ice cream and serves many small dairy farmers throughout the country whose herds are so small that they could not survive otherwise.

Among consumer cooperatives, cooperative banks, credit unions and electric cooperatives are the largest sectors. There are currently 59 credit unions (savings and loan cooperatives) throughout the country serving 770,000 members. The largest number of members nationwide are served by Coopealianza, established in 1971. Banco Popular y de Desarrollo Comunal is the largest cooperative bank in the country.

We visited two of Costa Rica’s four electric cooperatives – Coopelesca and Coopeguanacaste. I felt privileged to visit these cooperatives because the organization from which I am now retired, the National Rural Electric Cooperative Association (NRECA) was instrumental in creating them in 1965 with support from the US Agency for International Development (USAID). On November 3, 1961, USAID was established by President John F. Kennedy. Exactly one year later President Kennedy signed a cooperative agreement between USAID and NRECA to bring electrification to the developing world.

Let’s look forward 60 years to see how these consumer cooperatives have fared.

Both Coopelesca and Coopeguanacaste provide close to 100% renewable energy to their members, in part because they purchase anywhere from 20-40% of their electric power from a government-run hydro-electric generator, the Costa Rican Institute of Electricity. Both cooperatives have a long-term goal of being 100% self-sufficient in renewable energy. Both have diversified into offering internet and other telecommunication services, including fiber to the premises.

Coopelesca has five hydroelectric plants and serves 110,000 member-owners. The cooperative also represents a stunning example of innovation and creativity. Coopelesca negotiated with the government to own and maintain a portion of the Costa Rican rainforest, Réserva Natural Montaña Sagrada, beginning in 2007. Available for hiking and ecological tours, the reserve has full-time management and caretaking by cooperative employees and not only provides environmental protection but also ensures that valuable water resources for hydroelectric power generation do not diminish through deforestation.

Coopeguanacaste serves over 90,000 members and will be 65% self-sufficient in renewable energy by 2028. Their renewable portfolio is a mix of hydroelectric power, solar power, wind power and electricity generated from biomass (the first of its kind in Central America). The wind power is generated from 8 turbines located at the top of surrounding mountains and carried through underground transmission lines to a primary load center.

There is strong evidence of continuous learning and innovation in these examples, often accomplished with the support of US cooperative development organizations.

The work of cooperative development is one part infrastructure building and one part institution building. The goal is to leave a community not only with basic services that had previously been marginally available but also with an understanding of how self-help and self-responsibility through the cooperative model will ensure a long-term sustainable outcome.

This was an eye-opening two-week visit that demonstrated the amazing community base of Costa Rican cooperatives and the extraordinary difference that they make in the lives of the people. As they say, “Pura Vida” – Nice Life!