THE OFFICE of Utilities Regulations (OUR) yesterday confirmed that it had received the application for a rate increase from the National Water Commission (NWC) and will make assessments on the validity of the claim.
David Geddes, the OUR's communication manager, said that the request was handed in yesterday morning but said the NWC now has to provide more detailed information before the application can be processed.
The processing will involve inputs from the public and will take up to 60 days for completion.
NO FIGURE DISCLOSED
Neither side was willing to disclose the amount of the rate increase being sought, although unofficial reports put the claim as high as 50 per cent.
A few weeks ago the NWC justified its application, citing the need to combat high electricity charges and maintenance costs while bringing customer charges more in line with consumption.
The NWC's electricity bill is in excess of $100 million per month. Surveys show that compared to electricity and telephone bills which exceed $1,500 per domestic customer per month on average, NWC bills are maximised at $809.09.
TARIFF FACTOR
The company said that the increase is necessary because the cost of supplying Jamaica with water far exceeds the tariff being charged.
Mr. Geddes said the determination for the increase will be informed by public input, which will take the form of regional meetings, as well as meetings with persons in the hotel and manufacturing industries to whom water is a costly component of business.
The NWC, which was last granted a rate increase in 1999, said the rate adjustment being sought will go towards to the continued improvement of its service to customers.