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May increase in fuel surcharge due to global hikes

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Pago Pago, AMERICAN SAMOA — The May fuel surcharge for the American Samoa Power Authority (ASPA) increased as fuel costs continue to spike globally. And if you’re a customer that uses a lot of electricity, you may have noticed the new increase.

In a May 9 notice, ASPA said that recent spike in fuel costs, also noticeable at the local gas stations, has increased the fuel surcharge portion of the May 2022 kWh system rate, since the most recent low in January 2021, by 51%. That equates to a 16-cent increase in the kWh rate.

As previously reported by Samoa News, gasoline, land diesel fuel and kerosene — sold at local gas stations — went up to more than $5 per gallon when the maximum allowable price (MAP) or wholesale price, was released on Apr. 15.  And another price increase for fuel is expected when the new MAP is released on May 14.

In the notice, ASPA reiterated previous statements that it continues to explore renewable energy options for American Samoa with wind turbine technology as well as solar photovoltaic panels (PV). 

These two renewable energy resources are the only proven technology that will fit within our islands landscape with the limited land and limited flowing water for hydro.

“Until then, we are at the mercy of global fuel market prices and the many challenges faced with shipping and higher costs of materials around the world,” said ASPA, noting that the increasing cost of fuel to generate electricity is beyond its control.

“The current war is Ukraine will continue to cause spikes in future fuel costs around the world and will ultimately affect the cost of electricity in American Samoa,” it says.