Minister: BEC bills to remain high for now

Tue, Oct 25th 2011, 10:16 AM

Despite promises by government officials earlier this month that cheaper energy bills were on the way, Minister of State for the Environment Phenton Neymour said he does not anticipate any significant reduction in the Bahamas Electricity Corporation's (BEC's) fuel charge in the near future. During the first week of October, Environment Minister Earl Deveaux said that overhauls made to BEC's Clifton Pier plant meant that consumers would see a reduction in their bills.

Deveaux explained that the corporation's Blue Hill Road plant, where gas turbines have been providing more power than they usually do due to failed generators at the Clifton Pier plant, uses more expensive fuel than its western counterpart. With the Clifton Pier plant now meeting more of the demand for electricity, Deveaux said the government's fuel bill would be lower.

However, Neymour yesterday explained that because fuel prices remain relatively high, large bills are a "reality" that will remain in place for the foreseeable future. "If one looks at one's electricity bill, one would see that about 70 percent of your cost is just for the cost of fuel.  It has nothing to do with BEC," he said. "And that is based on fuel costs on the international market.  And that is what is primarily [impacting] our electricity bills."

Neymour admitted that BEC officials told government that customers should have gotten lower bills this month, "However, if one were to look at the prices, particularly for heavy fuel oil and... diesel, that may not be as anticipated."

BEC has been plagued with problems for several years now, culminating in a power crisis at the financially struggling corporation, which led to numerous rolling blackouts this summer and even as recently as a few weeks ago.

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