Last night, we told you about the PUC's decision to implement a miniscule rate reduction for BEL in its annual review proceeding. The proposed decrease to the average rate is less than one cent, and the slight benefit will accrue solely to those who need it most: customers who are paying the social rate.
Their Minimum Charge will go down from $5.00 to $4.00 per month and their rate will slide from $0.29 cents per kilowatt-hour to $0.26 cents per kilowatt-hour.
It represents very modest savings, but PUC's Chairman, John Avery told the media today, the rate proposal is a welcome buffer for Belize's energy needs which partially depends on fossil fuels. According to him, prices fluctuate with no warning, and the public has to absorb the spikes in the cost of power production
Here's an excerpt of that 1 hour long press conference:
John Avery - Chairman, PUC
"The only customer clause that the by-law allows for there to be a subsidy is the Social Rate Clause so we decided to reduce the rates the social clause of customers from $0.29 to $0.26 per kilowatt hour with a minimum bill of $4 as oppose to $5. Even this change is fairly insignificant change of the total revenues to be earned by BEL. However, we are not certain what will happen with the price because with the cost of power we are never certain. A lot of our power comes from Fossil Fuel sources and we never know what will happen with that. A hurricane could increase the cost of oil. There are signs that the US could have a conflict with Iran in the near future and that will take up the price of oil. Perhaps this little difference in Electricity rate - can be eaten up if we have any further increases in the cost of power. In any event we will review what has occurred to them and if there are any sizable corrections that result then we can then apply it to the rates going forward. This small reduction in the electricity rate was very difficult - without being discriminatory - you can't really translate it into any meaningful adjustments to the existing tariffs."
Those not paying the social rate, will see their electricity rates remain basically the same as what they are paying right now.
Don't like it? Well, you have until June 13th to send your objections in writing to the PUC.
Click here to view this story.
Email
Print