St Joe electric customers of KCP&L will pay an additional 94 cents per month under an order announced this week by the Missouri Public Service Commission.
The commission has approved a request to change the fuel adjustment charge (FAC) for fuel and purchased power costs during the six month period June 2014 through November 2014. The change in the FAC will take effect on March 1, 2015.
Customers in the utility’s Kansas City service territory will pay an additional $1.88 per month.
The FAC allows the company to recover most – up to 95 percent – of its costs, but not all, to encourage conservation and prudence in fuel use by the company. Any charges resulting from the fuel adjustment clause must appear in a separate category on customers’ bills. Fuel adjustment charges are intended to help companies deal with volatility in fuel pricing. The FAC tariff requires regular adjustments to reflect changes in prices the company has incurred for fuel and for wholesale power purchased to serve customers.
The electric company provides service to approximately 314,900 customers in Missouri.