The Cabinet has requested “further clarification” from the Regulated Industries Commission about the proposed increases in electricity rates.
As such there is no word yet from the Government nor the Trinidad and Tobago Electricity Commission (T&TEC) on when the new electricity rates will be implemented as the Cabinet is still deliberating the proposed increases.
The public has been bracing itself to pay the utility company more ever since the RIC announced the commencement of its rate review process. The anticipation was heightened on October 19, when the RIC revealed its final determination, proposing among other things that the residential rates increase between 15 per cent to 64 per cent.
However, yesterday Public Utilities Minister Marvin Gonzales told Guardian Media that, “the matter is still being considered by Cabinet. No decision has yet been made.” Asked what happens after approval Gonzales replied, “T&TEC will be authorised to implement the recommendations of the RIC. I cannot say exactly when Cabinet will finalise deliberations as we are requesting further clarification from the RIC.”
Guardian Media asked the Minister what issues needed to be clarified, however, he declined to answer.
A question was also sent to the RIC yesterday asking for information on what “further clarification” was requested by Cabinet.
Meanwhile, T&TEC’s General Manager, Curvis Francois could not shed any light as to when the increase will be implemented nor how much of an increase the utility company will impose.
“Please be advised that T&TEC is still awaiting Government directive on the implementation date for the electricity rate adjustment,” Francois told Guardian Media via text message.
But Francois said the public will be amply notified.
“As previously indicated in the media, T&TEC must provide 21 says notice to the public prior to implementation,” he explained.
In releasing its report in October, the RIC made it clear that the rates it proposed represent the maximum amount that T&TEC can charge, and while the State utility company can charge less, it cannot impose a billing structure higher than what the commission recommended. The RIC at the time said it would be up to T&TEC to decide what its final rate would be.
However, Francois told Guardian Media, it is the Government which will make that decision.
“T&TEC awaits the decision of Cabinet on the new rates which we will have to abide by,” Francois said.
In October, the RIC after months of public and private consultations proposed a residential increase ranging from 15 to 64 per cent, an increase for commercial customers from 37 to 51 per cent, industrial customers will see an increase between 58 to 72 per cent while E class industrial customers can see a whopping increase between 199 to 126 per cent.
Commercial customers were spared the initial proposed rates in the draft determination which was originally 51 to 63 per cent. The RIC explained that these small businesses are major employers and did not want to burden them to the point where they cut staff to offset the electricity bill increase.
Meanwhile, all customers will soon receive a monthly electricity bill as opposed to one every two months. The RIC launched an online calculator to help customers ascertain their new monthly billing rate. The RIC also pledged to review T&TEC’s rates on an annual basis. T&TEC stressed that the increase is necessary to maintain a reliable supply of electricity. The company’s debt currently stands at $9.32 billion which includes its debt to the National Gas Company (NGC).
