Gainesville Regional Utilities (GRU) has lowered its fuel adjustment charge for electricity customers starting Nov. 1, resulting in $4 off the average bill.  

The 5 mill reduction, from 50 mills to 45 mills, marks the third reduction in 2023. The year started with a pass-through cost of 80 mills—$80 per month for a 1,000 kilowatt-hour customer.  

GRU reevaluates the fuel adjustment charge on a regular basis, lowering or raising the mills as natural gas markets dictate. The utility makes no money from the fuel charge. GRU only breaks even on that portion, and the pass-through cost is an industry practice.  

Natural gas customers will also see slight reductions from a similar reduction. The average customer, using 20 therms per month, will see 40 cents of savings. According to a GRU release, its gas rates remain the lowest in the state.  

The GRU release also notes that average electricity bills, 800 kilowatts hours per month, have dropped about $32 when comparing November 2023 to November 2022.  

The lower bills come thanks to the three fuel adjustment reductions that have compensated for a 3% electricity base rate increase the City Commission approved in September 2023.  

As of September 2023—the most recent month with data—GRU electric bills for 1,000 kilowatt hours ranked the fifth month expensive—behind Florida Power & Light NW, Ocala, Duke Energy and Florida Public Utilities. The Florida Municipal Electric Associations, who compiles the data, places GRU 1,000 kilowatt electric bills as third most expensive when looking at the average from the past 12 months.