Settlement funds to go push surcharge back

by Janjeera Hail

Guam - Guam Power Authority wants to use the $5.1 settlement from Bank of America to offset the impact of the Working Capital Surcharge.  That fee was supposed to take effect in April of next year, but during Wednesday night's meeting of the Consolidated Commission on Utilities, it was decided that the settlement money could be used to push back the surcharge for another year. 

Pending approval from the Public Utilities Commission, the Working Capital Surcharge, which accounts for about a 2% increase in power bills, will now take effect on April 1, 2012.

Meanwhile, the CCU did approve a LEAC adjustment.  The Levelized Energy Adjustment Clause is adjusted every six months to reflect changes in fuel prices.  The CCU approved a 17.27% raise last night to take effect in February.  That too must go to the PUC for final approval.