The Consolidated Commission on Utilities is reviewing a resolution proposed by the Guam Power Authority which would allow GPA to petition the Guam Public Utilities Commision for a base rate adjustment.
According to a Feb. 20 GPA statement, the resolution would increase the base rate by 2.9 cents for the average residential customer using 1,000 kWh per month. GPA said that the increase would be used to cover costs linked to the development of the Ukuku Power Plant and other ongoing infrastructure improvements.
However, GPA plans on introducing a new request to the CCU in May to lower the Fuel Recovery Charge which would take effect on Sept 1.
GPA reviews the LEAC with the CCU every May and November.
The proposed adjustment of the LEAC would decrease to 13 to 14 cents per kWh which GPA said reflects the addition of the Ukudu Plant into the island’s power grid and the retirement of aging generators like Cabras 1 and 2.
“These adjustments are designed to work together — the reduction in the fuel portion of customer bills will help offset the impact of the base rate increase,” GPA said in a statement.
GPA is expecting a $44 monthly savings for the average residential customer on top of the $53.19 LEAC adjustment made earlier in February.
The CCU is expected to vote on GPA’s resolution on Feb. 25.
Meanwhile, the testing of one of the Ukudu Power Plant’s combustion turbines took place Feb. 12.
GPA said that Ukudu CT Unit 1 underwent initial testing and on Feb. 18 was able to synchronize with the island power grid with a load of 5 MW that morning. Ukudu CT Unit 1 was scheduled to increase energy production up to 45 MW over the next few days.
Ukudu Units 2 and 3 will undergo similar testing towards the end of February and through March.
GPA plans for the power plant to be fully commissioned no later than Sept. 30. mbj