Power Supply Charge
The Power Supply Charge recovers the cost of the electricity we buy from various electric power producers on behalf of our customers. The biggest part of the Power Supply Charge covers the cost of fuels (petroleum and natural gas) that we buy for use at power plants on Long Island owned by National Grid to produce electricity as part of Long Island’s overall electric supply. This charge also includes the cost of power purchased by us from Independent Power Producers both on and off Long Island.
Like all electric utilities, LIPA’s fuel and purchased power costs are subject to market pricing fluctuations, which in turn, cause the Power Supply Charge to change from time to time. In an effort to provide greater rate stability related to these costs, LIPA adjusts its Power Supply Charge on a quarterly basis, as needed.
Power Supply Charge as of Apr 1, 2012 is $.074626 per kWh
How is the Power Supply Charge calculated?
LIPA combines the cost of the fossil fuel with its
purchased power costs and bills the Power Supply
Charge for all residential and commercial customers
based on your individual electric usage. As of
January 1, 2012, the basic cost for the Power Supply
Charge has been 8.30˘ per kWh and will be reduced to
7.46˘ per kWh effective April 1, 2012.
