(CUC) — The Commonwealth Utilities Corporation has been notified by Mobil Oil Mariana Islands Inc. that there has been a decrease in the average international fuel oil prices which may affect the Fuel Adjustment Charge or FAC. Pursuant to an order issued by the Commonwealth Public Utilities Commission, CUC is required to adjust — increase or decrease — the FAC pass-through rate when the “Mean of Platts Singapore” monthly pricing equals or exceeds a 4.5% differential of the average per gallon cost of fuel used in the calculation of the current FAC rate.
As a result, the current FAC rate will decrease by 1.9 cents ($0.019) per kWh, from $0.23019 to $0.21119 per kWh, effective Oct. 1, 2024.
The FAC is one of two components that make up the CUC electric rate, strictly for fuel and fuel-related purchases. The second component is the CUC base rate, which is used to fund operations, projects, debt services, or any non-fuel-related expenses. This base rate has not increased since April 2014.
