Electricity consumers are being assured their monthly billing rates will remain the same despite a ‘significant’ drop in the BVI Electricity Corporation’s (BVIEC) revenue stream.
General Manager at BVIEC, Leroy Abraham said though it has been 10 months since the 2017 hurricanes, a large percentage of customers are still ‘off the electricity grid’ for various reasons.
“Our customer base has reduced by approximately 20 percent in totality. So, for any business to lose 20 percent of its customers, it is significant … We lost 25 percent of revenue.”
He said BVIEC’s customer base and electricity production will only be restored to pre-hurricane standings when the territory rebuilds fully.
The general manager, however, said BVIEC customers should not be concerned whether the monthly price they pay for electricity will increase.
“We have very transparent pricing here at BVIEC and it hasn’t changed in approximately 40 years,” Abraham said at a media conference on Wednesday.
“One element of your bill which hasn’t changed is your fixed cost, which is the rate. The only fluctuating element of your bill, as all of us know, is the fuel variation surcharge and that is constant across the board for all customers.”
Abraham said petroleum products are the single largest expense for the electricity company. He said the products are BVIEC’s largest expense because the BVI is fully reliant on fossil fuels.
Two petroleum product suppliers – SOL and Delta Petroleum – have each submitted bids to supply the BVIEC with these products for the next five years.
SOL is proposing to supply the products for nearly $90 million while Delta is proposing to supply the same products for more than $93 million.
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