The Fuel Adjustment Clause allows Grenlec to pass on the difference between the actual cost Grenlec paid for fuel and the fuel charge to customers in the prior billing period.  It achieves this by doing an adjustment on the fuel charge in the next billing period. If the actual fuel costs were higher than what was charged, customers will see an increase through the FAC. Conversely, if fuel costs were lower than what was charged, customers will benefit from a decrease (credit) through the FAC.