Tweet
HOUSEHOLDERS yesterday reacted with anger at the possibility of an increase in electricity rates this month, with some saying that any such hike would be cruel at this time.
According to the majority of persons polled by the Observer in Cross Roads and New Kingston in the early afternoon, the Office of Utilities Regulation (OUR), which is to decide on the annual inflation adjustment to non-fuel electricity rates, should not grant the Jamaica Public Service Company (JPS) an increase.
“That is madness! I don’t think it is fair at this time,” said Sophia Smith, who expressed surprise at the possibility of a rate increase. “I think what they should do is try and stop persons from stealing light, so they can collect more money.”
“I think it is a bit harsh, especially now when the country is trying to increase its productivity,” said David Hobson, who gave his job title as brand manager. “An increase will cause a negative effect on the price of production and manufacturing, which will only result in more price increase for persons. Basically, an increase will cause a negative domino effect right now.”
Christine Blackwood, a merchandiser who was on the job when the Observer spoke with her, said: “I don’t think JPS should increase the light bill at this point. They increased it last year and our pay don’t raise, so I don’t agree.”
The householders’ objections follow those expressed at the weekend by the tourism sector which said the already high electricity rates are crippling its operations.
The sector also urged the OUR to forego the rate adjustment, given that hotel forward bookings have seen a significant decline because of the civil unrest in sections of Kingston last month.
The issue was highlighted by Spanish Ambassador to Jamaica Jesus Silva who pointed out in an address to the Rotary Club of Kingston last Thursday that the high price that local and foreign investors have to pay for electricity is hurting their ability to stay in business.
Silva spoke specifically to Spanish hoteliers in Jamaica, saying that the high electricity costs are threatening their viability.
Last week, the JPS, in a news release, reminded that it cannot unilaterally increase its prices to reflect inflation.
The company said that under its operating licence, it is required to submit an application to the OUR each year for the inflation adjustment. That adjustment, JPS said, “is based on the US and Jamaican annual inflation rates, as the electricity industry is dependent on both imported and local inputs”.
But that was small comfort to Fitzroy Jackson, who was among the more than 20 householders with whom the Observer spoke yesterday.
“I am not in agreement with it,” said Jackson, an information technology manager. “It’s a difficult time now. We are still in a recession, and I don’t think the OUR is working for us. I know their hands are tied, but a least they must be able to say no or ask JPS to defer the request.”
Saleem Clarke, in his response, questioned the need for an adjustment. “I don’t know why they need to increase the light bill every year,” he said. “The light bill is already too exorbitant. JPS needs to find another way to take care of its overhead costs instead of pinning it on the consumers.”
Maxine Jackson, who was shopping in a supermarket in New Kingston, was furious. “I don’t agree; a wicked dem wicked. Light bill a raise too often now,” she fumed.
Taxi driver Sylvern McLeish said: “Is another light company we want, because if JPS did have competition, then the company couldn’t raise the bill so often.”
Thaddeus Nevers, another taxi driver, felt that an increase in electricity rates would make life harder for consumers who are already struggling with the high cost of living.
“Why do they have to turn to us so frequently for an increase?” he asked.
Security guard Pam Williams described the light and power company as “heartless” and said: “Is just last month they boast that they made millions in profits.”
However, Kevin James said he understood the need for an adjustment in the rates.
“I understand why they are seeking this increase, because inflation rises and if their suppliers raise their prices on them, then they have to increase the cost to the consumers to recover the cost, said, James.
http://www.jamaicaobserver.com/news/...ctricity-rates
According to the majority of persons polled by the Observer in Cross Roads and New Kingston in the early afternoon, the Office of Utilities Regulation (OUR), which is to decide on the annual inflation adjustment to non-fuel electricity rates, should not grant the Jamaica Public Service Company (JPS) an increase.
“That is madness! I don’t think it is fair at this time,” said Sophia Smith, who expressed surprise at the possibility of a rate increase. “I think what they should do is try and stop persons from stealing light, so they can collect more money.”
“I think it is a bit harsh, especially now when the country is trying to increase its productivity,” said David Hobson, who gave his job title as brand manager. “An increase will cause a negative effect on the price of production and manufacturing, which will only result in more price increase for persons. Basically, an increase will cause a negative domino effect right now.”
Christine Blackwood, a merchandiser who was on the job when the Observer spoke with her, said: “I don’t think JPS should increase the light bill at this point. They increased it last year and our pay don’t raise, so I don’t agree.”
The householders’ objections follow those expressed at the weekend by the tourism sector which said the already high electricity rates are crippling its operations.
The sector also urged the OUR to forego the rate adjustment, given that hotel forward bookings have seen a significant decline because of the civil unrest in sections of Kingston last month.
The issue was highlighted by Spanish Ambassador to Jamaica Jesus Silva who pointed out in an address to the Rotary Club of Kingston last Thursday that the high price that local and foreign investors have to pay for electricity is hurting their ability to stay in business.
Silva spoke specifically to Spanish hoteliers in Jamaica, saying that the high electricity costs are threatening their viability.
Last week, the JPS, in a news release, reminded that it cannot unilaterally increase its prices to reflect inflation.
The company said that under its operating licence, it is required to submit an application to the OUR each year for the inflation adjustment. That adjustment, JPS said, “is based on the US and Jamaican annual inflation rates, as the electricity industry is dependent on both imported and local inputs”.
But that was small comfort to Fitzroy Jackson, who was among the more than 20 householders with whom the Observer spoke yesterday.
“I am not in agreement with it,” said Jackson, an information technology manager. “It’s a difficult time now. We are still in a recession, and I don’t think the OUR is working for us. I know their hands are tied, but a least they must be able to say no or ask JPS to defer the request.”
Saleem Clarke, in his response, questioned the need for an adjustment. “I don’t know why they need to increase the light bill every year,” he said. “The light bill is already too exorbitant. JPS needs to find another way to take care of its overhead costs instead of pinning it on the consumers.”
Maxine Jackson, who was shopping in a supermarket in New Kingston, was furious. “I don’t agree; a wicked dem wicked. Light bill a raise too often now,” she fumed.
Taxi driver Sylvern McLeish said: “Is another light company we want, because if JPS did have competition, then the company couldn’t raise the bill so often.”
Thaddeus Nevers, another taxi driver, felt that an increase in electricity rates would make life harder for consumers who are already struggling with the high cost of living.
“Why do they have to turn to us so frequently for an increase?” he asked.
Security guard Pam Williams described the light and power company as “heartless” and said: “Is just last month they boast that they made millions in profits.”
However, Kevin James said he understood the need for an adjustment in the rates.
“I understand why they are seeking this increase, because inflation rises and if their suppliers raise their prices on them, then they have to increase the cost to the consumers to recover the cost, said, James.
http://www.jamaicaobserver.com/news/...ctricity-rates
Comment