by Sabrina Salas Matanane

Guam - Utility bills are going up. The Public Utilities Commission Tuesday night approved the Guam Power Authority's request to increase its Levelized Energy Adjustment Clause (LEAC). "The petition reflects an increase of approximately 8.3 percent on the overall total residential customer bill," stated Joaquin C. Flores, P.E. General Manager. "This means that an average residential consumption of 1000 kwh will see an increase of $22.44 to their bill", he noted.

"What we had to consider was the following when requesting for this increase," Flores said. "The ‘premium component' of the new fuel oil contract increased the cost of fuel to GPA. The additional cost is approximately $33M per year, or slightly more than 10% of GPA's annual fuel budget.

"And secondly, the Cabras Unit No. 3 extended outage due to damage to the rotor shaft will increase fuel costs to GPA customers resulting from the use of more expensive generation units, since Cabras 3 is one of GPA's most efficient units," Flores went on to note, "Our focus over the next couple of months is to work on bringing back on line Cabras Unit No. 3; we are working hard to ensure that happens".

The Public Utilities Commission also approved the Guam Waterworks Authority's request to increase rates. "The increase will be 9.15% for all customers from residential, agricultural, government and commercial, as well as hotel classes," said GWA General Manager Martin Roush General Manager Roush. "This also includes the sewer rates as well", he added.

According to GWA for the residential customer the bill will be reflected this way:

RESIDENTIAL

Under 5K gallons per month the increase will be $3.87 per month.

Over 5K gallons per month will be $4.79

Sewer rates will go from $25.08 to $27.37 ( 9.1% increase)

The GWA increase goes into effect this Friday.