GPL: No third-quarter light bill increase
Guyana Chronicle
July 17, 2003
There will be no increase in electricity tariffs for the third quarter of 2003
That’s the word from Guyana Power and Light Incorporated (GPL).
In a statement late yesterday, GPL said it is continuing to seek out ways and means to keep the company operational while reducing any burden on its customers.
Adds the statement:
While the statutes of the Electricity Sector Reform Act (ESRA) require GPL to adjust basic rates periodically and to pas it on to its customers any adjustments in the cost of fuel whether in the form on rebates or surcharges. GPL’s management remains committed to ensuring fair pricing of electricity.
In the recent past since the current Board of Directors resumed full control of GPL’s operations, permission was sought and granted from the Public Utilities Commission (PUC) to defer part of the real increase even though operational costs had risen during the first quarter of 2003. The intention was to reduce the burden on customers by cushioning some of the effects of the rate increase and fuel surcharge. Customers were then asked to pay an increase of approximately 16 percent from April 2003 instead of the required 27 percent increase.
The statutes of ESRA required that the basic rates for electricity consumption be adjusted in order to maintain fluidity in the company’s operations and to hold achieve operational plans and goals in the short and long terms. The fuel Surcharge of $6.07 that had been applied to tariffs in the previous quarter had now been reduced to $3.11 since the cost of fuel was reduced over the past few months. GPL has requested and been granted the approval of the PUC to apply only a part of the requisite increase in basic rates in order to sustain its operations. This increase in basic rates had been approved by the PUC at the end of April, but was not applied.
The net effect of this is that there will be no changes to the current electricity tariffs during the third quarter of 2003. The increase in the basic rate will be cushioned by the $2.96 reduction in the fuel surcharge. The customary review of the tariff position will be undertaken again before next October to determine what rates would be charged for the last quarter. Meanwhile, the breakdown of the current tariff structure has been published in the daily newspapers to provide greater detail.
GPL appreciates the tangible support from its customers across the three counties of Demerara, Berbice and Essequibo in contributing towards the sustainability of the company.