EKPC generates electricity through two coal-fired plants: H.L. Spurlock Station near Maysville and John Sherman Cooper Station near Somerset. We make power using combustion turbines (CTs) — fueled by natural gas or fuel oil — at Bluegrass Station in LaGrange and at J.K. Smith Station in Trapp, near Winchester.
We’ve embraced the future by building Cooperative Solar Farm One, one of the largest solar projects in Kentucky. Located in Winchester, the 60-acre farm features 32,300 solar panels producing enough electricity for 1,000 Kentucky homes.
EKPC has six more plants generating renewable power from methane gas at landfills. We purchase hydropower from the federal Southeastern Power Administration’s through Laurel and Wolf Creek dams.
Ensuring Reliable Energy
More than ever, people depend on electricity to power lights, heat, air-conditioning, appliances and other critical equipment.
Every moment of every day, we are doing all we can to ensure a reliable supply of energy for homes, stores, offices, factories, schools, hospitals and every co-op member.
About the Fuel Adjustment Clause (FAC)
What is the FAC?
EKPC generates energy at its power plants and also buys power from other utilities. EKPC incurs costs for fuel like coal and natural gas, as well as costs for purchased power. Depending on market conditions, these costs can change dramatically from month to month.
The Fuel Adjustment Charge (FAC) recovers a portion of EKPC’s cost of fuel and purchased power. EKPC calculates the FAC each month based on a formula approved by the Kentucky Public Service Commission, which regularly reviews the calculation to ensure it is accurate.
Each month, EKPC bills the FAC to each of its 16 owner-member cooperatives and they, in turn, bill their members. All funds recovered through the FAC go to EKPC to pay the actual costs of fuel and purchased power.
The FAC has been a bill credit, but now it is a charge. Why?
Depending on the actual monthly costs of fuel and purchased power, the FAC can be either a charge or a credit on members’ bills. For most of 2021, it was a credit. But, for a few months, particularly late in the year, it was a charge. As the U.S. economy has revived from the pandemic, demand for coal, natural gas and electric power have been on the rise. In fact, at times, the cost of buying power has nearly doubled since last year.
What can co-op members do to manage costs?
Because homes tend to use more energy in the summer and winter for heating and cooling, you can take steps to improve the energy efficiency of your home and lower energy costs. For example, plugging leaks in duct work or installing high-efficiency windows can have a big impact on power bills.