Have you noticed a line on your electric bill called “Power Cost Adj” and wondered what that is? It refers to the City’s Power Cost Adjustment Factor (PCAF). The City instituted the PCAF in 2013 to allow for adjustment of electric bills to match wholesale power prices.
Wholesale Power Prices Directly Affect the PCAF
The City purchases its power from the Illinois Municipal Electric Agency (IMEA). Like the cost of most commodities, wholesale power prices can fluctuate. The City adjusts the PCAF in accordance with our actual costs of purchasing power from IMEA.