The Missouri Public Service Commission last week approved a request that will decrease area KCP&L customer’s bills starting in September.
The PSC approved a change the fuel adjustment charge (FAC) on the monthly bills of its electric customers.
The change reflects fuel and purchased power costs during the six month period December 2014 through May 2015
The change in the FAC will take effect on September 1, 2015. It will mean a decrease of approximately $3.11 a month for the typical residential customer in the MPS service territory (Kansas City) and a decrease of approximately $2.69 a month for the typical residential customer in the L&P service territory (St. Joseph).
The fuel adjustment charge was authorized by the Commission for KCP&L-GMO in a regular rate case in 2007. The FAC tariff allows the company to pass increases or decreases in its net fuel and purchased power costs to customers outside of a general rate case.
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.