Fuel Adjustment

Fuel Adjustment Clause: The fuel adjustment clause shall be made monthly based on the preceding month billing period. The base for the total power cost for a one (1) month period is $0.055 per KWH after adjusting for transmission, distributing system losses, city used energy, utility energy, and street lighting. The current cost per KWH is calculated by dividing the "total power cost" by the "total KWH sold" (using power cost and KWH sold each preceding month). "Total power cost" includes fees and other charges made by the wholesale power suppliers to the Company, cost for equity transfer for city energy, debt service associated by Company owned power generation, as well as company owned generation fuel and labor costs.

The adjustment is found by subtracting the "base energy cost" from the "current energy cost." The adjustment is applied to all KWH as determined under each rate schedule. The adjustment is not applied to Rate Schedule L, Security Light Service. (Ordinance No. 04-488-A, Sec. 1.)