FTC: No decision yet on BL&P’s rate increase application

The Fair Trading Commission (FTC) has not yet given the Barbados Light & Power Company (BL&P) the go-ahead to apply for interim rate relief on its electricity bills, it has said.

The FTC said that while Light & Power had applied for an interim rate relief to take effect from Tuesday, November 1, it had not yet been approved.

Last month, the electric company applied to the FTC for a review of electricity rates, which in some cases could see bills rise by up to 20 per cent.

Light & Power said the significant increase in costs and necessary investments, like its new 33-megawatt Clean Energy Bridge plant at Trents, St Lucy, forced it to seek a rise in electricity prices.

The utility company explained it was only the second time in the last 40 years that it had requested an adjustment to its electricity rate bases.

Until the case is heard, Light & Power is seeking to get interim rate relief.

But the FTC has advised Barbadians that no such permission has yet been granted.

The FTC said: “The BLPC has requested that interim rate relief, using the proposed rates, come into effect from November 1, 2021, and be applied to all bills from November 1, 2021, and remain in place until the commission issues its final decision and order.

“The public is advised that, to date, the commission has not made a determination on this request.”

The commission also revealed that Light & Power’s proposal to have the request made confidential would also be heard shortly.

“Once accepted for filing, applications, excluding confidential information, are placed on the public record. On a request for confidentiality by a service provider, the commission ordinarily determines whether the request would be granted or whether the information would be placed on public record. A hearing on the confidentiality request will begin shortly,” the FTC added.

The FTC also noted that no decision had yet been made on whether the rate increase would be allowed.

It explained that simply because a request was made did not mean it would be granted.

No timeline had yet been determined on when a ruling would be handed down, the FTC said.

It explained: “On receipt of an application, the commission ordinarily makes an assessment to ensure it complies procedurally with the enabling legislation and applicable rules. The length of time for this assessment varies, depending on the volume and other matters before the commission.

“Once satisfied that the application is complete, the commission accepts it for filing and assigns a reference number. Incomplete applications may be rejected. This part of the process has been completed.”