| PRESS RELEASE |
| 25TH February 2016 |
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| ELECTRICITY TARIFF DECREASE BY 20.3% EFFECTIVE FROM THE METER READINGS TAKEN AS AT 1 MARCH 2016 AS COMPARED TO ELECTRICITY TARIFF AT JANUARY 2015 |
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| After consultation with the Electricity Commission, Tonga Power Ltd is pleased to announce a reduction of power tariff to 69.99 seniti per unit effective 1 March 2016. This is a 17.8 seniti per unit or 20.3% reduction from the time when the new Government came into place since January 2015 whereby the electricity tariff at the time was 87.79 seniti per unit. |
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| The new electricity tariff of 69.99 seniti per unit will come into effect on 1st March 2016 meter reading. This is 11% lower than the current power tariff of 78.68 seniti per unit. |
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| This is the lowest it has been since 2008 and the benefits will be passed on to all electricity consumers in Tongatapu, Vava’u, ‘Eua and Ha’apai. |
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| The net decrease tariff movement is due to the reduction in diesel prices over the last 3 months. The fuel tariff was reset to 25.64 seniti per unit for this quarter. The table set out below provides details of the new electricity tariff. |
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| The landed cost of diesel in Tonga is regulated by the Competent Authority of the Ministry of Commerce. The tariff adjustment is determined by a process set down in the Concession Contract between the Electricity Commission, Tonga Power Ltd and the Government of Tonga. |
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| For further information please contact: |
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| Robert Matthews |
| Chief Executive |
| Tonga Power Limited |
| Telephone: 27-390 |
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