During a regular meeting of the Consolidated Commission on Utilities (CCU) on Tuesday, March 24, CCU Commissioners approved Guam Power Authority’s (GPA) recommendation to lower GPA customer power bills by further reducing the Levelized Energy Adjustment Clause (LEAC).
GPA recommended reducing the LEAC rate in the customers’ monthly energy statements to $0.110039 /kWh — a decrease of 18.2 percent from the current LEAC rate.
“This recommended lowering of the LEAC is a decrease of approximately 10.7 percent on the overall residential customer bill; such that an average residential consumption of 1000 kWh will see a decrease of approximately $24.43 to that customer’s monthly bill,” explained GPA General Manager John M. Benavente, P.E.
“CCU Resolution 2020-08, was voted upon and approved today, to support GPA’s request to take action and further fuel savings to benefit all customers, most especially during this difficult period of the coronavirus outbreak,” stated CCU Chairman Joey T. Duenas.
“GPA will next petition the Guam Public Utilities Commission to request the adjustment to lower the LEAC through the remainder of the current LEAC period which is February 1, 2020 through to July 31, 2020. GPA hopes that the GPUC is able to address CCU Resolution 2020-08 at its Thursday, March 26, 2020 regular meeting, so that power bill reductions become effective for GPA billings beginning April 1, 2020,” added Benavente.
“Amidst the worldwide coronavirus pandemic tragedy, declining oil market prices contribute to lowering GPA’s cost for producing electricity. GPA is quickly moving to provide customers immediate relief resulting in lower monthly power bills. GPA provides this relief to help counter some of this pandemic’s huge financial hit on our community,” stated Benavente.
“If approved by the GPUC, the total reduction on an average residential customer’s bill based on a consumption of 1000 kWh, is approximately 18.6 percent; taking into account that on January 30, 2020, the GPUC approved CCU Resolution 2019-16, and lowered the LEAC by 7.8 percent,” Benavente concluded.