The Public Utilities Commission has rejected BEL’s request for a rate increase – which means that your light bill won’t go up – at least not right now. On March 13, BEL submitted what’s called a TERP – Tariff Event Review Proceeding – basically a request for an average increase of 15% in electricity rates. It generated a good deal of public outcry and 190 objections were sent in to the PUC.
And so today in its final decision sent out at 4:30 p.m., the PUC rejected all four proposals included in the TERP. And the reason? Well, the PUC says BEL can meet its financial obligations and it can manage its cash flow by reducing spending. And that is certainly backed up by the figures which show that BEL’s profit has increased 100% in the past four years: up from 15.8 million in 2004, to a projected $30 million in 2007.
And so, that’s it. The TERP process has no room for review so BEL’s application is d-o-a – your electricity rate remains unchanged. But the battle is sure to continue. BEL is now preparing it’s ARP or Annual Review Proceeding – which will be handed in on April second – and we’d hazard a guess to say that will also request an increase in rates.
But that battle will be fought – we are told – by a newly constituted Public Utilities Commission which will reportedly governed by new legislation to be enacted next week. So as of Monday, it’s a new ballgame between the PUC and BEL – only thing is, they’re still playing with the same “high fuel cost” football.
