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PM: GOB Can't Afford Electricity Rate Increase
posted (January 18, 2013)
Earlier this week, we told you about electricity rates which went up at the beginning of this month. The PUC held a press conference to say it was going up by a cent more for everything except the street lights.

That's because the rate for street lights reverted to 55 cents per kilowatt hour, where it was before the increase came into effect. The bottom line is that everyone will pay more, except for the government on those street lights!

Today the Prime Minister explained that they just can't afford it:..

Prime Minister Dean Barrow
"Let's be clear on what's involved here - government was always paying 55 cents per kilowatt hour for the street lighting which was hugely more than the rate for the rest of consumers was at the time when those rates was lowered and I think the ordinary consumer by and large in terms of the rate and tariff went down to 41-42 cents or whatever it was. Government remained at 55 cents. I don't think that fair - I think its discriminatory and then when there was a reduction government didn't get the benefit of any reduction. Now that there has to be an increased government will be increased from 55-64 I don't think so. Ultimately that street lighting bill is a bill we assume on behalf of the public - it represents millions of dollars annually for our budget. If we are going to increased it so that we are going to go up by another 2 or 3 million dollars a year - I have to factor that into the larger budget mix. I have said that I am determined not to raised taxes and so anything such as an unprogram huge increased in government street lighting bill that might oblige me then to have to go back to people by way of a tax increase I will fight."

The increase would have cost government roughly two million dollars - which will now have to be recouped from consumers.

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