Saipan – Power consumers on Saipan may experience another rate reduction as early as this month, according to the Commonwealth Utilities Corp.
CUC chief financial officer Charles Warren told Saipan Tribune reported that its customers will experience further rate decreases once CUC fulfills its payments to Pacific Marine Industrial Corp.
CUC bought out the contract of independent power producer for $7.25 million. The buyout took effect last Saturday, giving CUC control over Power Plant 4.
The utilities company already cut its levelized energy adjustment clause rate by 10 percent last June 5 after prices of fuel in the world market dropped in April.
LEAC, which is currently at $0.29569 per kilowatt-hour, is part of the customer’s bill that reflects the cost of fuel. It is supposed to go up or down to reflect the cost of buying fuel to run the power plants.