Tonga Power Limited hereby notifies all electricity consumers in Tonga that the Electricity Commission has approved a new determination of the electricity tariff rates. Tonga Power Limited will implement the new tariff rates to be effective as from after the 15th April 2013. The Ministry of Public Enterprises and the Government have been discussing the best means to pass on the new cost to the customers, taking the effects of economic downturns into consideration. Following submissions from the Minister of Public Enterprises the Cabinet have agreed to subsidise the first 100 kWh from now on at 8.78 seniti per kWh, until further notice. The community subsidy applies to all electricity consumers supplied by Tonga Power Limited.
The fuel component of the new tariff is based on the average forward fuel price as set by Government on 15 March 2013. Fuel prices have been on a steady upward trend since August 2012, increasing by over 24 seniti per litre. Due to the increasing cost of diesel over the past few months, the new published rate for all electricity consumed after April 15th will increase by a total of 8.78 seniti to 94.05 seniti per kWh. Any consumption prior to this date (as assessed from the meter readings) will be billed using the previous tariff at 85.27 seniti per kWh.
Details of the revised tariff rates approved by the Electricity Commission are as follows:
| Tongatapu |
85.27 |
8.78 |
94.05 |
| Vava’u |
85.27
|
8.78
|
94.05
|
| Ha’apai |
85.27
|
8.78
|
94.05
|
There is never a good time to increase power bills, particularly when so many people are working hard to make ends meet. But the costs are driven by external factors such as the cost of crude oil increasing and Tonga’s heavy reliance on imported fuel for generation, and we now have no choice but to pass on some of these costs.
Tonga Power Limited is working closely with the Government and International Partners on sustainable renewable energy projects, such as the Maama Mai solar farm and the Village reconstruction projects, to help lower the unit cost of electricity and reduce our dependence on imported diesel fuel.
Electricity tariffs are regulated by the Electricity Act and administered by the Electricity Commission. The tariff adjustment is determined by a process set down in the Concession Agreement between Tonga Power Limited, Government, and the Electricity Commission.
For further detail, please contact:
John van Brink
Chief Executive
Telephone 27 390.