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CUC eyes returning LEAC over-collection to public
The Commonwealth Utilities Corp. board on Thursday talked about bringing up with the Commonwealth Public Utilities Commission the LEAC reconciliation or true-up, to adjust any over- or under-collection of fuel costs from prior LEAC periods.
The CUC board wants any over-collection to be distributed back to the public as billing credits.
“Now that the oil is low and we’re paying it at a low cost and we’re still collecting a little bit more from our customers, there is a month of money that we collected and now we’ve got to return this money. That is the true-up,” CUC board chair David Sablan Jr. said during the board meeting.
“So what I mean is that we’re actually paying back the consumers for the fuel oil even though we’re still paying the oil company because we have a surplus collection. Rather than go too deep on the balances, we can do an immediate credit to all accounts including to those that are paying,” Sablan said.
He told board members and CUC executives, however, that instead of giving it back to the government, the government will be credited so it can reduce its past arrears. For residential customers, they will get their money back from CUC over the course of time.
“This is what we’re discussing about,” he said.
Fletcher said that CUC was due for a LEAC true-up anyway.
He noted during the board meeting that they will file a LEAC reconciliation for the CPUC and CPUC will make the decision upon the CUC board’s recommendation.
