• Latest
Buy more shares in GRENLEC

Government Not In Support Of GRENLEC Non-Fuel Increase

7 years ago
Fewer than 400 marriages registered in 2020

Fewer than 400 marriages registered in 2020

9 hours ago
Randy Isaac arrested and charged for domestic violence

Randy Isaac arrested and charged for domestic violence

10 hours ago
Response to PM’s National Address

Statement of solidarity with teachers and public workers

19 hours ago
Claims of coronavirus at SGU designed to create fear and panic

Covid-19 update: Grenada Dashboard 23 January

2 days ago
Grand Etang route disruption

Grand Etang route disruption

2 days ago
Early Intervention is the best hope for reducing child abuse

A crisis of sexual assault and rape among people in Grenada

3 days ago
GHTA Expresses Concern Over the 2017 Budget

Grenada Hotel and Tourism Association elects its new board

3 days ago
Grand Bacolet to Munich Road nearing Completion

Temporary closure: Cherry Hill Road, Carriacou

3 days ago
MPower 2.0 continues despite Covid-19 setback

Grenadian student benefits from Republic Bank Scholarship programme

3 days ago
Vacancy: Plant Engineer

Vacancy: Marketing Manager

4 days ago
Vacancy: Plant Engineer

Vacancy: Plant Engineer

4 days ago
Drug bust in Soubise and Belvedere

Drug bust in Soubise and Belvedere

4 days ago
NOW Grenada

Main Header Ad 468x60

booked.net
  • Front Page
  • Categories
    • General News
      • All
      • Agriculture & Fisheries
      • Arts & Culture
      • Business
      • Education
      • Environment
      • Health
      • History
      • Lifestyle
      • Law
      • Politics
      • Technology
      • Travel & Tourism
      • Weather
      • Youth
    • Sports
      • All
      • Athletics
      • Cricket
      • Football
      • Watersports
    • Community
      • All
      • Tribute
    • Crime
    • Features
      • All
      • Today in History
    • Opinion/Commentary
    • Press Releases
      • All
      • Advertisements
      • Notices
  • Video
  • Notices & Vacancies
  • Advertise
  • Contact Us
No Result
View All Result
  • Front Page
  • Categories
    • General News
      • All
      • Agriculture & Fisheries
      • Arts & Culture
      • Business
      • Education
      • Environment
      • Health
      • History
      • Lifestyle
      • Law
      • Politics
      • Technology
      • Travel & Tourism
      • Weather
      • Youth
    • Sports
      • All
      • Athletics
      • Cricket
      • Football
      • Watersports
    • Community
      • All
      • Tribute
    • Crime
    • Features
      • All
      • Today in History
    • Opinion/Commentary
    • Press Releases
      • All
      • Advertisements
      • Notices
  • Video
  • Notices & Vacancies
  • Advertise
  • Contact Us
No Result
View All Result
NOW Grenada
No Result
View All Result

Article Header

Government Not In Support Of GRENLEC Non-Fuel Increase

This story was posted 7 years ago
21 January 2014
in General News
3 min. read
Grenlec – Queen’s Park Power Plant & Substation, St George – PicturesofGrenada.com
Share

Public Utilities Minister Gregory Bowen said that Government does not support the recent announcement from Grenlec that it will increase its non fuel rate as of the 1 February 2014, but at the same time there isn’t much than can be done to stop the action.

“Government cannot stop it, we could only say we oppose it,” Bowen said on Tuesday during the weekly post cabinet briefing, as he explained that at present Grenada does not have an effective Public Utilities Commission to approve or object to public utilities increases in rates.

According to Bowen, in 1994 the then National Democratic Congress administration sold Grenlec majority shares to WRB Enterprises Ltd, and as part of the agreement there was also a modification to the Public Utilities Commission legislation, making it ineffective.

“On this pending non-fuel increase, all Grenlec simply had to do was write a letter advising of the increase based on the inflation rate as publicised in the Gazette. All the Commission had to do was to verify the calculations in 120 days,” he said.

Grenlec announced that the rate will increase by 0.77%, which represents an adjustment in the net of a rate increase of 1.22% that was applicable for 2013 and a decrease of 0.45% that is due for 2014 based on the Consumer Price Index (CPI), as gazetted for 2012.

Bowen said that the previous NDC administration led by Tillman Thomas had asked the company to “hold back” the increase, and the same request was made by the ruling NNP administration. “But there is only so much than can be asked of the company. There is no public utilities commission in place, and so Government cannot stop it, but we can oppose it,” he said.

Bowen is of the opinion that Grenlec is disregarding the request from Government for corporate and individual sacrifices that can result in the economic development and transformation of the country.

“Why Grenlec does not want to participate in the sacrifice for a solution?” he questioned. “It will not hinder the profit of the company, but this can have negative impact on others,” he said.

It its release about the pending announcement, Grenlec said that understanding the economic conditions that prevail, it regrets the increase. “However, we believe that it is more practical to implement small rate increases than to delay, thus risking the possibility of a higher rate increase at a later stage,” said the release.

“Our Company has always been cognisant of the impact of rate increases on our customers and in 2008, 2010 and 2013 GRENLEC sacrificed revenue by deferring increases in order to ease the burden on our customers. However, we cannot always absorb all the increased expenses and still maintain the quality service that our valuable customers have come to expect,” the release further explained.

GRENLEC does not and cannot adjust rates at will. In 1994, a Price Cap Formulae (RPI –2%) was introduced to regulate the adjustment of non-fuel rates. This price cap regime governs how rate adjustments are calculated and prevents GRENLEC from increasing rates to make profit. It also prevents GRENLEC from passing on costs resulting from inefficiencies to our customers.

NOW Grenada is not responsible for the opinions, statements or media content presented by contributors. In case of abuse, click here to report.

Tags: cpieconomyelectricityfuelgazettegrenlecincreaseinflation
Next Post
Increased NIS Contribution Ceiling

Increased NIS Contribution Ceiling

Comment on story Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Home Sidebar NP 300x250

© NOW Grenada. All Rights Reserved. Published by Aqua Design Inc. | Terms of Use | Privacy Policy

© NOW Grenada. All Rights Reserved
Published by Aqua Design Inc.
Terms of Use | Privacy Policy

No Result
View All Result
  • Front Page
  • Categories
    • General News
      • All
      • Agriculture & Fisheries
      • Arts & Culture
      • Business
      • Education
      • Environment
      • Health
      • History
      • Lifestyle
      • Law
      • Politics
      • Technology
      • Travel & Tourism
      • Weather
      • Youth
    • Sports
      • All
      • Athletics
      • Cricket
      • Football
      • Watersports
    • Community
      • All
      • Tribute
    • Crime
    • Features
      • All
      • Today in History
    • Opinion/Commentary
    • Press Releases
      • All
      • Advertisements
      • Notices
  • Video
  • Notices & Vacancies
  • Advertise
  • Contact Us

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

We are using cookies to give you the best experience on our website.

You can find out more about which cookies we are using or switch them off in settings. Visit our Privacy Policy | Terms of Use.

NOW Grenada
Powered by  GDPR Cookie Compliance
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful. Visit our Privacy Policy | Terms of Use.

Strictly Necessary Cookies

Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.

If you disable this cookie, we will not be able to save your preferences. This means that every time you visit this website you will need to enable or disable cookies again.