The Guam Power Authority will present a proposal to the Consolidated Commission on Utilities (CCU) Tuesday, on the cost of the Levelized Energy Adjustment Clause (LEAC).
The LEAC, also known as the fuel recovery surcharge, dropped 2 cents for GPA customers in February, from 15.4 to 13.4 cents per kilowatt-hour.
With crude oil prices falling worldwide in the wake of COVID19, GPA began crunching numbers and looking at long-term projections, to conclude if the drop in crude prices, can be translated into a lower fuel surcharge for residents.
The LEAC is revenue-neutral and in a previous conversation with PNC News, GPA General Manager John M. Benavente said every penny that it costs GPA, or that the utility saves, has to go back to the consumer.
The CCU will be meeting in person at the GPA Headquarters 3rd floor Conference Room.
In a statement to PNC News, Benavente said the room will be reconfigured to address personal-social distancing, safety, and health protection.
There will also be no more than 10 people in the room.
The meeting will begin at 12 pm on Tuesday, March 24.
In the statement, Benavente said the CCU meeting will be live-streamed on YouTube for the media and the public to watch (YouTube: guam ccu).
While he did not indicate whether GPA will recommend a price drop, Benavente said the fuel surcharge is up for discussion and decision Tuesday.
He went on to say that immediately following the meeting, GPA will issue a release that reflects the proposal and decision by the CCU.
GPA is also expected to publicize any approved numbers and explain the impact on customers’ bills.