PR-10-56 -- PSC Sets Intervention Deadline In Empire District Electric Company Fuel Adjustment Clause Case

Contact: Kevin Kelly (573) 751-9300

FOR IMMEDIATE RELEASE -- OCTOBER 6, 2009

JEFFERSON CITY---The Empire District Electric Company (Empire) has filed a request with the Missouri Public Service Commission to adjust the fuel adjustment charge (FAC) on the bills of its electric customers.  The charge appears as a separate item on monthly electric bills.

In an October 1, 2009 filing, Empire is proposing a decrease in the FAC.  Empire states the filing reflects its actual energy costs that Empire has incurred during the six month period of March 2009 through August 2009.  The proposed reduction is approximately $800,000.  For a residential customer using approximately 1,000 kilowatts of power a month, the request would reduce the electric bill by approximately $1.27 a month.

Empire states the major factors for the proposed decrease in the FAC include: cooler than normal weather conditions, lower natural gas usage, lower natural gas prices and lower spot purchased power prices.

In a July 2008 rate case decision, the Public Service Commission granted Empire’s request to implement a fuel adjustment clause in order to address fuel and purchased power cost volatility.  Base electric rates were established in that rate case reflecting a certain level of fuel and purchase power costs.  The fuel adjustment clause will reflect increases or decreases in those costs above or below those set in base rates.

Applications to intervene and participate in this case must be filed no later than October 16, 2009, with the Secretary of the Missouri Public Service Commission, P.O. Box 360, Jefferson City, Missouri 65102-0360.

The Empire District Electric Company serves approximately 147,000 electric customers in the Missouri counties of Barry, Barton, Cedar, Christian, Dade, Dallas, Greene, Hickory, Jasper, Lawrence, McDonald, Newton, Polk, St. Clair, Stone and Taney.

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Case No. ER-2010-0105