The PUC met Thursday night and approved a hike to the Levelized Energy Adjustment Clause, better known as the LEAC rate.
Guam – The Public Utilities Commission recently approved a hike in your power rates but not by the proposed amount estimated by the Guam power authority.
The PUC’s approved increase was to the LEAC rate. It was increased by 1.4-percent or roughly 2.82 cents for the average customer using 1000 kilowatts per month, this according to Fred Horecky, PUC’s legal counsel.
PUC held a special meeting to discuss the increase, which was proposed by the Guam power authority back in December. Initially, GPA sought an increase to the LEAC rate by 6.8-percent, or about 13 dollars. But Horecky tells PNC that recent changes to fuel prices influenced the dramatic difference between what GPA asked for in December and what the PUC approved last night.
“Last night, however, the commissioners found that the fuel prices have been decreasing since the time GPA filed its petition, based on a more recent update of the fuel price forecast by Morgan Stanley, the commissioners did approve an increase of 1.4-percent,” said Horecky “In fact what had happened, the average price per barrel of fuel had gone down from the 68 dollars anticipated by GPA down to more like 64 dollars.”
The consolidated commission on utilities will meet for a regular scheduled meeting July 23rd. You can read more on this story at pacificnewscenter.com.