Last Updated on April 21, 2016 by cassnetwork
LMU customers could see lower electric bills in the coming months. The electric generating plant closed on April 1, and LMU is now buying all of the electricity it sells to its customers from Duke Energy.
“The FAC (fuel cost adjustment) portion of the electric bills are actually in a slight negative, or refund, due to the generating plant not operating,” LMU Superintendent Paul Hartman said in an e-mail. “This will be the case for electricity used in April, May and June. In July, the FAC should stabilize to about 0.0038 cents per kwh, where it had been 0.02 cents per kwh in 2015. So, in summary, customers should see a reduction in electric used in April through June, and then going forward less than what it had been in 2015.”
According to Logansport Mayor Dave Kitchell, the Indiana Municipal Power Agency, Duke Energy, Southern Energy, Kenergy and Morgan Stanley have submitted proposals for the next purchased power agreement with LMU and another phone meeting between city officials and Indianapolis-based Lewis & Kappes, which is evaluating the proposals, is set for April 26.
LMU’s current purchase power agreement with Duke Energy runs through 2018.