Even though the price of crude oil continues to fall, the National Power Authority has increased tariff on its unit charge for this year and for 2009.
According to a signed memorandum on 17th October, 2008 by the Acting Deputy General Manager of NPA, Dennis JS Garvie, the subject of the memorandum is implementation of tariff adjustments for September 2008, January 2009 and June 2009 billing cycles.
The tariff adjustments were approved by the Board of Directors and endorsed by Cabinet. The adjusted tariffs would be implemented in three phases; the first 50% increase came into effect during the last September billing cycle; whilst the remaining 53% to be implemented in two phases, 28% effective January 2009 billing and the remaining 25% for June billing cycle accordingly.
The memo categorized the phases as follows; Phase 1 prepayment metering(all customer categories)- effective 20 October 2008, T1, T2, Government and others excluding MDI- effective September 2008 billing cycle. MDI customers- effective October billing cycle.
Phase2 states that prepayment metering (all customer categories) – effective January 2009 billing cycle. T1, T2, Government and others excluding MDI- effective January 2009 billing cycle. MDI customers- effective January 2009 billing cycle.
Phase 3 also states that all customer categories (both prepayment and credit metering) – effective June 2009 billing cycle.
Residential tariff (T1) units have increased from Le373 to 560 and commercial fromLe Le651 to Le977. Institutions increased from Le781 to Le1172; whilst Industries from Le941 to Le1412.
The units of Street Lights, Temporary Supply and Welders are also increased from Le792 to Le1188; Le910 to Le Le1365 and Le993 to Le1490 respectively. The service charges on all categories are also increased and that this increase was for last September increased to 50%.
The 28% increase effective January 2009 billing for residential is from Le 373 to Le 664; Commercial Outlets from Le 651 to 1159; Institutions from Le 781 to Le 1390; Industries from Le 941 to Le 1675; whilst street light, Temporary Supply and Welders increased from Le 792 to Le 1410; Le910 to Le1620; Le993 to 1768 respectively.
Similarly so, the 25% increase effective June 2009 billing cycle for residential homes would be increased from Le 373 to Le 757 and for Commercial Houses from Le 651 to Le 1322; Institutions from Le 781 to Le 1585; Industries from Le 941 to Le 1910 and welders from Le 993 to Le2016. Street Lights and Temporary Supply increased from Le 792 to Le1608 and Le 910 to Le 1847 respectively. Consumers have questioned the justification for the increment, especially when the price of crude oil is falling.
They expressed hope that when the new consignment of crude oil is bought, there would be no need to increase tariff.Efforts to contact Denis Garvie on mobile number 033452257 for justification of the increase proved futile.
By Ishmael Bayoh
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