Clarke says JPS’ claim that switch to more expensive fuel is a reason for hike in bills is misleading

Finance Minister Dr. Nigel Clarke has described as misleading, claims by the Jamaica Public Service, (JPS) that the company’s switch to more expensive fuel is one of the main reasons for a hike in customers’ utility bills this month.

There have been numerous complaints from customers about the massive increase in their light bills compared to previous months.

In some cases the amount due had doubled.

Providing an explanation for the high bills yesterday, JPS’ Director of Corporate Communications, Winsome Callum told Irie Fm news that there are 2 main components to the bills – the energy charges set by the Office of Utilities Regulation, and the other charges, including the fuel charge, exchange rate and customer’s usage.

Ms. Callum said following Hurricane Beryl’s passage on July 3, the company had to switch to a more expensive fuel – Automotive Diesel Oil, (ADO).

She said as a result, customers are paying more for the fuel charge component of the bill.

However, Finance Minister Dr. Nigel Clarke has said the JPS has provided misleading and or incomplete information to the public.

According to Dr. Clarke, the JPS wrote to him requesting a waiver of the Special Consumption Tax, (SCT) on ADO for electricity generation, or an application of the concessionary rate of 4 point 5 dollars per litre for July.

According to a correspondence to the JPS dated July 12, 2024 which he posted to his X account, this application was approved.

The finance minister is urging the JPS to restore normalcy to customers urgently.

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