MISSOURI (KFVS) - The approximately 1.26 million electric customers serviced by Ameren Missouri will see a change in their bills in the near future.
The Missouri Public Service Commission approved a filing made by Union Electric Company Ameren Missouri to adjust the fuel and purchased power adjustment charge (FAC) on the bills of its electric customers.
Ameren Missouri made two filings with the Commission.
In its first filing, Ameren Missouri proposed to adjust the FAC to reflect changes in its fuel and purchased power costs, net off-system sales revenues and associated transportation experienced. This was based on the four month period of October 2016 through January 2017.
The second filing was Ameren Missouri's FAC true-up. For a residential customer using 1,015 kilowatthours a month, the FAC will drop by approximately $0.56 a month, from $1.26 a month to $0.70 a month.
The change is expected to take effect during the June billing month.
The Commission for Ameren Missouri authorized the fuel adjustment charge in a regular rate case in 2009.
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 and allows the company to recover most, up to 95%, 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.