FAQ - LIPA Bill Adjustment
If after browsing our frequently asked questions, you still have a question, feel free to contact us. Call 1-800-490-0025 or 631-755-6000- Monday - Friday: 8:00am to 8:00pm, except holidays.
I am interested in: My Account | Bill Adjustment | Understanding Your Bill | Electric Service
As a municipal electric utility LIPA does not make a profit and seeks only to recover monies from its customers to cover its costs. Below are frequently asked questions relating to LIPA’s recent bill adjustment.
- Why is LIPA increasing the Power Supply Charge?
- What is the Power Supply Charge?
- When is the rate increase effective?
- How long will this Power Supply Charge factor be in effect?
- How much of an increase will I see?
- How can I reduce my electric costs?
Why is LIPA increasing the
Power Supply Charge?
LIPA’s Power Supply Charge was increased due to recent
increased costs for fuel and purchased power. Fuel and
purchased power costs represent 55% of LIPA’s 2008 Operating
budget. These are costs which LIPA cannot control. For
further information regarding projected fuel costs for 2008,
you can view LIPA’s 2008 Operating budget.
What is the Power Supply Charge?
The Power Supply Charge is the charge for fuel (e.g. oil and
gas) used to produce electricity and the purchase of power.
When is the increase effective?
The Power Supply Charge increase is effective July 1, 2008.
How long will this Power Supply
Charge factor be in effect?
Unfortunately, the Power Supply Charge is a permanent part
of the LIPA bill. LIPA’s goal is to protect its customers
from wild price swings and mitigate as best as possible any
fuel and purchased power increases. If oil and gas prices
change significantly (decrease or increase) in 2008, LIPA
will reassess the level of the factor to determine the need
for an adjustment to the factor.
How much of an increase will I
see?
The Power Supply Charge on your bill has been increased from
$0.097689 to $0.103420 per kWh. This represents a 3%
increase on the total bill for a typical residential
customer. Delivery & System Charges remain unchanged.
How can I reduce my electric
costs?
LIPA customers can help lower their bills by using
electricity as efficiently as possible. We have plenty of
useful information on our Web site including a
Home Energy
Audit feature that can help identify ways to be more
energy efficient. Look for our “53
Ways to Save Energy and Lower Your Electric Bill”
brochure, which has some great no cost and/or low cost
suggestions to help lower electric bills without sacrificing
one’s quality of life. Also, the “Electric
Appliance Energy Guide” provides information on how much
electricity different household appliances use. Under our
Clean Energy Initiative, we have two programs-
REAP and
Home
Performance - both that can help reduce electric costs.
