Energy Acqusition Adjustment

The energy acquisition adjustment (EAA) is used to adjust the retail price of electricity to cover wholesale electricity fluctuations.  It is calculated on a per kWh basis using the difference between the actual price of electricity and the price that was assumed when the base rate was determined.  It can be either a positive or negative value, and appears as a separate line item on the customer’s bill.

Year Month EAA
2024 Mar ($0.00317)
2024 Feb ($0.00377)
2024 Jan $0.00742
2023 Dec $0.00170
2023 Nov ($0.00470)
2023 Oct $0.00708
2023 Sep $0.00380
2023 Aug $0.00536
2023 Jul $0.00139
2023 Jun ($0.00270)
2023 May $0.00464
2023 Apr $0.00477
2023 Mar ($0.00195)
2023 Feb ($0.00145)
2023 Jan ($0.00068)

 

Purchased Gas Adjustment and Gas True-up Correction

The purchased gas adjustment (PGA) is used to adjust the retail price of natural gas to cover wholesale gas price fluctuations.  In November 2022, the PGA was divided into two components: the purchased gas adjustment (PGA) and the Gas True-up Correction (GTC). 

The PGA is a forward looking projection based on forecasted gas costs and usage in the current month.  It is calculated on a per CCF basis using the difference between the forecasted cost of gas for the current month and the cost that was assumed when the base rate was determined.   The PGA rate is applied to all current month gas usage and can be either positive or negative.  It appears as a separate line item on the customer’s bill.  Since PGA is forward looking, and based on forecasts and estimates, there will inevitably be some error in the PGA projection. 

The GTC is a backward looking correction for any error in PGA two months earlier.  After actual gas costs are available, the GTC calculates what PGA should have been 2 months earlier and determines the correction needed.  The GTC correction is multiplied by the gas usage on the customer’s bill two months earlier.  Like PGA, it can be either positive or negative and it appears as a separate line item on the customer’s current bill. 

Separating the GTC correction out onto its own line item allows it to be billed based on the gas used two months ago when the error in PGA happened.  This is fairer to all customers because the gas cost and corrections are being applied more accurately to the customers who actually used the gas.

Year Month PGA  GTC
2024 Mar ($0.1046) ($0.0205)
2024 Feb ($0.0779) $0.1734
2024 Jan ($0.0832) $0.0404
2023 Dec ($0.1246) $0.1240
2023 Nov ($0.4031) $0.0479
2023 Oct ($0.4936) ($0.0352)
2023 Sep ($0.3631) ($0.1120)
2023 Aug ($0.3026) ($0.0675)
2023 Jul ($0.2504) ($0.0091)
2023 Jun ($0.2482) $0.0438
2023 May ($0.2617) ($0.1355)
2023 Apr ($0.3401) $0.0526
2023 Mar ($0.2331) $0.0055
2023 Feb ($0.0494) $0.0095
2023 Jan $0.0294 ($0.0592)