Power rates will increase by 15 cents per kilowatt-hour starting January 1st, 2022 announced Palau Public Utilities Corporation (PPUC).  This rate will take effect if PPUC does not received the remaining amount of $1.5 million authorized under the FY 2022 Unified Budget Sect. 33.

The new tariff will add 15 cents to your fuel cost from what you are paying today.  For homes using 0-150 kWh, the rates will go from 20 cents per kWh to 35 cents or an increase of about 44%.  Home using 151 to 500 kWh will go from 27 cents to 43 cents or about a 33% increase.  For residentials with 500kwh and above, rates will go to 47 cents per kWh or 36%.

In other words, if in November your power usage is 150 kWh, you pay 30 dollars.  In January, that same 150 kWh, will cost you $52.50.  The increase is in fuel cost as a result of fuel cost increases in the past 3 months.

The announcement was met with frustrated complaints from members of the community.  “We are not going to afford this.  We are still paid $3.5 per hour but the price of everything is going up.  Now with the increase in power, it is going to be very hard for us” express one state employee.

In a letter and resolution sent by PPUC Board to Senate President Hokkons Baules on October 21, 2021, PPUC Chairman Ngiraitmetuchel Belechel said that PPUC Board will not increase the AFPAC rate if the money authorized under the budget is received by December 31, 2021.  If funds are not received, then this 15 cents increase will take effect January 1, 2022. 

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