Tourism Industry Braces Itself For LEAC Increase


Guam- As the Guam Power Authority (GPA) gets ready to increase its Levelized Energy Adjustment Clause (LEAC) this coming Monday, August 1st , by 18%, officials are also bracing themselves for its impact on tourism.

It was back in April that the Consolidated Commission on Utilities (CCU) postponed the increase because representatives from the Guam Hotel and Restaurant Association (GHRA) spoke against it. They said the drop in Japan arrivals had already forced layoffs at some of the island’s hotels.

Guam Visitors Bureau General Manager Joann Camacho says she isn’t sure how the increase will affect the overall tourism industry, but says GVB will have to adjust its expenses.

“We all need to adjust accordingly, not just in the business, but also personally in our homes” said Camacho. “So, we just have to be prepared for it and hopefully, it won’t be that big of an impact. And if it is, then we just really need to adjust accordingly….because they’re doing it for a reason, and a purpose. And you know, they need to sustain themselves as well.”

The August 1st LEAC increase means residential customers, using an average of 1,000 kilowatts a month, will pay about $30 dollars more in the power bills.