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Power Cost Adjustment

What is a Power Cost Adjustment? (PCA)

The PCA is a monthly adjustment applied to each PMU electric customer’s bill based upon their individual kilowatt-hour consumption. Several conditions affect the cost of energy: weather, demand, contract stipulations, oil and gas prices, among other items. When there are short-term increases in power costs, the PCA allows recovery of those costs. If the cost of generating and purchasing power decreases, PMU passes the decrease along to customers as well.

City of Paragould Ordinance # 2011-02 sets the base energy cost at $0.04876 per kilowatt-hour. The monthly per kWh charge shall be increased or decreased to reflect changes in the cost of delivered power and energy above or below a base power and energy cost of $.04876 per kWh.


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