Does every utility calculate the FAC the same way?

Yes and No, we all use the same basic calculation and most New York utilities use a formula approved by DPS. Some do it annually, others do quarterly. Freeport calculates ours monthly, this is the most transparent and means the charges most accurately reflect the actual cost for the actual period. There is very little chance of over or under collecting. It does however lead to the wide fluctuations in monthly charges. We often hear about other Utilities over charging their customers. This is often the result of not recalculating the FAC on a regular basis

Show All Answers

1. What is the Fuel Adjustment?
2. How long has Freeport had the FAC on our bills?
3. How is the FAC rate calculated?
4. Does every utility calculate the FAC the same way?
5. How is the FAC applied?
6. Does Freeport profit from the FAC?
7. But I thought we get most of our power from Niagara Falls?
8. What are congestion charges?
9. What about the new power plant?
10. Freeport’s rates are higher than LIPA’s!
11. Some Key Points: