Recognizing the rapid evolution of artificial intelligence in the workplace, NRECA has updated its sample AI policy for electric cooperatives to help support safe, reliable operations while gaining efficiencies.

“Because co-ops are using AI in new ways, they may want to consider additional guardrails," said Kitty Sargent, NRECA assistant general counsel. "The updated NRECA Sample AI Policy for Electric Cooperatives can help co-ops as they grapple with how to engage in responsible AI use to help protect their members and keep their service reliable."

The sample policy updates involve four important areas of AI governance: pre-deployment assessment, a risk tier matrix, agentic AI and third-party or vendor considerations.

It offers that before deploying AI systems, co-ops conduct thorough evaluations of these platforms with assistance from the sample policy’s new risk tier matrix. The sample policy suggests expanded criteria for medium- and high-risk AI systems and links tier levels to potential requirements for staff training and AI system assessment, oversight and deployment.

The revised policy aligns guidance for agentic AI, which can accomplish tasks with minimal human supervision, and generative AI, which responds to prompts but is growing in sophistication. It also suggests a co-op staff member serve as the “human-in-the-loop” to oversee AI systems, depending on the use case.

Because many AI systems used by co-ops involve outside vendors, the sample policy also provides sample language for review of third-party products for compliance purposes. Co-ops are encouraged to work with their attorney to determine their specific compliance requirements.

NRECA first offered co-ops an AI Sample Policy in 2024 as an adaptable resource as machine learning in the digital landscape gained ground across the utility sector. Co-ops are using AI to assist their work in various ways, including peak load forecasting, remote staff training, vegetation management with equipped drones, system image recognition and anomaly detection, document review and marketing.

Sargent said the updates to the sample policy were intended to help co-ops keep pace with AI’s latest uses and the risks they introduce.

“As the use of AI continues to advance, electric cooperatives may consider taking a proactive approach to mitigating risk and nurturing responsible AI use with the 2026 Sample Policy as a resource,” she said.

View more information and a copy of the AI Sample Policy.