THE Regulated Industries Commission (RIC) unveiled its proposed new maximum rates for electricity, across the board, on Thursday. If implemented, this could see T&TEC's revenues grow by as much as 50 per cent in the next year.
For almost a year, increased electricity rates have been a topic of national and political discussion.
Now, three years of work and months of consultations have culminated in the commission giving its final recommendations for new rates and regulations during a press conference at the Hilton Trinidad.
Responding to a question, RIC executive director Dawn Callender said the commission's maximum rates are projected to earn T&TEC up to $4.8 billion, up from the utility's $3.2 billion average annual revenues.
Depending on usage, the new rates for 2023/24 will increase between 15 and 64 per cent for residential customers.
Rates will also increase between 37 and 51 per cent for small businesses (B1) and ten and 12 per cent for larger businesses (B2), paying commercial rates. There will also be an increase of between 58 and 72 per cent for class D industrial customers, and 119 and 126 per cent for class E, industrial customers.
[caption id="attachment_1041006" align="alignnone" width="1024"] A copy of a residential customer's bi-montly electricity bill for the month of September with the current rates for a bi-montly period. -[/caption]
The commission has also created a C class for industrial customers – these being high-density users like server farms and data or cryptocurrency mining.
These changes will also see customers being billed monthly instead of every two months. The new rates are not yet in effect or set in stone, as RIC officials clarified on Thursday. These are the maximum rates T&TEC would be allowed to charge customers, meaning the utility can choose to charge less.
Callender said while the new terms and conditions take effect from November 1, T&TEC will now have to decide if it will implement the new rates, when, and what the rates will be, given the maximum ranges set by the RIC.
PUBLIC TO KNOW SOON
In a brief telephone interview with Newsday, T&TEC chairman Romney Thomas said the commission received the document yesterday and is currently reviewing it.
"We will be in touch with the public in due course about (our) next steps," he said. Thomas added the commission is comparing the RIC's final determinations and what the utility requested in its business plan.
"Once we do that (the review), I'll have to talk to my line minister and have some discussions with him on it, and that will be basically before we make any final determination," he said.
Minister of Public Utilities Marvin Gonzales told Newsday on Thursday that he received the determination on Wednesday evening but was yet to review it.
"Over the coming days I intend to review and submit to Cabinet for its consideration," Gonzales said. During consultations, many people criticised the RIC's proposed rates for residential customers, but Callender said the commission did not am
