Vinlec – Electricity surcharge way down

The St. Vincent Electricity Services Ltd. (VINLEC) did everything possible to improve its efficiency last year so that electricity consumers could gain maximum benefits.{{more}}

CEO of the company, Thornley Myers, made the statement at the company’s first press conference of the quarter on Tuesday, March 10th, at the company’s head office in Paul’s Avenue, and acknowledged that the year 2008 was a difficult one for both his company and customers.

Myers stated that this was mainly due to the high cost of fuel, which affected the fuel surcharge.

The CEO said that the falling cost of fuel this year means that there will be a drop in the fuel surcharge, as will be evident on the next electricity bill.

“From a fuel surcharge rate of 66.88 cents per unit in August 2008, in the month of March; the bill that is now being prepared to go out to meet our customers, the fuel surcharge will be 20.95 cents kilowatt per hour.”

He said that events around the world have led to a significant reduction in the cost of fuel; from paying US$169.27 for one barrel of oil in August last year to currently paying US$68.58 cents.

While Myers is hoping that the price of oil remains stable on the world market, so that consumers can enjoy lower electricity bills, he is also hoping for an increase in economic activity which should lead to an increase of electricity consumption.

During the press conference, Myers also revealed that when it comes to renewable energy, the company plans to increase production at the hydro plants in South Rivers and Richmond, and is exploring the possibility of installing an additional hydro plant down stream at South Rivers.

The wind farm development at Ribishi point and the use of geo-thermal energy were also discussed at the conference.

The US$14 million work on the second phase of the Lowman’s Bay power plant, which is expected to double the plant’s production capacity is set to begin in the near future. (JJ)