LIGHT BILLS will increase by almost one per cent after the Office of Utilities Regulation (OUR) announced its annual rate adjustment for the Jamaica Public Service Company (JPS).
Effective June 1 customers will experience a 0.9 per cent increase on their May bill. JPS had requested a 5.5 per cent increase on the non-fuel component of the bill but the OUR restricted this to 1.99 per cent which kept the overall increase at 0.9 per cent. OUR Director General J. Paul Morgan explained that the increase was restricted because of a productivity gain of 2.72 per cent by JPS.
"JPS is allowed to adjust their rates by inflation minus the productivity factor. What we are saying is that we are expecting you (JPS) to improve your efficiency and to pass that back to the consumer," Mr. Morgan told The Gleaner.
However, bills may increase further when the OUR rules on June 30 on JPS's hurricane claim submission due to the impacts of hurricanes Dennis, Emily and Wilma last year. Under the terms of its licence - known as the Z-factor - JPS has submitted a claim for $192.8 million to meet these costs.
