Working on a Louisville manufacturing client with Kentucky Power. Their fuel adjustment clause (FAC) seems off. Rate schedule SGS-TOD shows FAC of $0.02847/kWh but I'm calculating $0.02693 based on PSC Case 2009-00549. Anyone else seeing discrepancies with KU fuel adjustments?
Kentucky Power fuel adjustment clause - calculation errors?
Jack - I had similar issues with Duke Energy Carolinas fuel riders. Check if they're using the correct recovery period. Sometimes utilities lag the PSC approval by a month. What's the effective date on your bills?
Kentucky Power has had calculation issues before. File a complaint with PSC if you can document the error. I got $4,200 back for a client in 2009 on a similar fuel clause mistake.
FAC calculations are tricky. Make sure you're using the right base fuel cost from the tariff. Sometimes the published rate includes other adjustments that aren't obvious.
Fuel adjustment verification is critical audit work. Document everything, compare to PSC orders, and don't hesitate to challenge when the math doesn't add up. The utilities make mistakes too.