THE Commonwealth Utilities Corporation has been notified by Mobil Oil Mariana Islands that there has been an increase in the average international fuel oil prices which affects the Fuel Adjustment Charge or FAC.
Pursuant to an order issued by the Commonwealth Public Utilities Commission, CUC is required to adjust the FAC pass-through rate when the “Mean of Platts Singapore” monthly pricing meets or exceeds a 4.5% differential of the average per gallon cost of fuel used in the calculation of the FAC rate.
As a result, the FAC rate will increase from $0.21119 per kWh to $0.23498 per kWh, effective Feb. 1, 2025.
The FAC is one of two components that make up the CUC electric rate, which is strictly for fuel and fuel-related purchases. The second component is the CUC base rate, which has not increased since April 2014 and is used to fund operations, projects, debt services, or non-fuel related expense.
