“Overall Retail Tariff Will Increase By 7.5%”

March 26, 2022

The Regulatory Authority [RA] announced that “effective April 1,2022, retail tariffs for Bermuda’s electricity sector will increase across customer groups,” explaining that “the overall Retail Tariff will increase by 7.5%.”

A spokesperson said, “The retail tariff is a component of a monthly BELCO bill that is reflected as a charge and is the rate at which electricity per kilowatt hour is sold to consumers.”

Denton Williams, Chief Executive of the RA, said, “Worldwide, countries are dealing with increased inflation, largely due to the extended global pandemic, supply chain shortages and spikes in oil prices due to the war in Ukraine. While prices continue to rise during these multiple global crises, protecting consumers remains a key focus for the RA.

“At the start of COVID-19, the RA ensured that the community remained connected throughout the pandemic by creating an Emergency General Determination for the electricity and electronic communications sectors. During that time, the RA was also instrumental in decreasing the Retail Tariff for two consecutive years.

“Recently, BELCO made a series of investments to ensure that Bermuda residents have access to a reliable supply of electricity and by law, the RA is mandated to consider their recovery of those costs. In 2021, BELCO agreed to defer the recovery of a portion of their investments, and in 2022, proposed an increase of 16% to energy bills to recover their costs.

“Following a comprehensive assessment, and issues previously mentioned, the RA rejected BELCO’s proposal and determined that on average, the overall Retail Tariff will increase by 7.5%, effective April 1, 2022.”

The spokesperson said, “Consumers can help to reduce their monthly BELCO bill with several energy savings initiatives. For example, putting a timer on water heaters or turning it off at the breaker panel when not in use can save between 10 to 15%, switching to LED lightbulbs can save up to 30% and setting air conditioners at 78 degrees Fahrenheit can maintain a comfortable temperature while saving energy.

“For more energy savings tips and to read the Retail Tariff Order and Report, visit www.ra.bm.”

Read More About

Category: All, News, technology

Comments (8)

Trackback URL | Comments RSS Feed

  1. Ohh says:

    What if we got rid of the RA? How much money would the Bermuda public save?

  2. We the consumers paying for private computer upgrades says:

    Recently, BELCO made a series of investments to ensure that Bermuda residents have access to a reliable supply of electricity and by law, the RA is mandated to consider their recovery of those costs. In 2021, BELCO agreed to defer the recovery of a portion of their investments, and in 2022, proposed an increase of 16% to energy bills to recover their costs.

    Are we the consumer paying for structural improvements to a private company? Really

    Once the cost is recovered, will we see a decrease

    How long for the increase?

    Too many unanswered questions!

    We need a citizen as large on the RA and the board is 100% male.

    • LOL (original) says:

      “We need a citizen as large on the RA and the board is 100% male.” not sure what this has to do with it. Try knocking all the politicians off this board that might help. Sure if a female wants to get on the board she should do like every other person that gets on boards must do. It’s interesting to see very tolerant people advocating for sexism, racism and the like must be reading Ibramah X ” The only remedy to present discrimination is future discrimination.”

      Can’t see this working we’ll start to look like prison populations and how they segregate themselves going forward.

  3. Sean Dulover says:

    All the rhetoric about investing in Bermuda and an IRP to reduce costs and the 7M inflated RA just allows the rate increase and hides behind the very Energy Act they are suppose to be balancing the public interest. Is this balancing the public interest? I suppose it was always going to happen with the ex-BELCO chief taking over the RA to now allow this rate increase. The PLP platform also promised reduce cost of energy. Is this what that means? A 7.5% increase. I suppose the 300+M sale and so called benefits for Bermuda can now be used to payback the higher bills. Great timing on the back of a pandemic and the highest inflation in 40 years. I suppose its justified for stable power that is still dirty diesel with soot falling on residents and an IRP plan no where on target. At least it makes sense for the liberty chief to drive a new EV and look the part. Everyone wins except the suffering middle and lower class. I can only imagine what the pension and medical increase will look like. Well done to our elected leaders and industry representatives. Bermuda will thrive on such vision.

  4. Michael Durfy says:

    Only last May, the Minister proclaimed victory in a reduction in energy rates. Surely this is not an about face? Need to add an extra subsidy to fairmont with this extra cost in energy. 7.5% now and another 8.5% coming?

    Minister? No press conference on this one? We are not celebrating success. I am sure it has nothing to do with a MP as leader of belco because all the sustainable press coverage is about 100% renewables and lower energy costs. I guess that’s “in the future”. Maybe now with this modern investment we can keep the state of the art power plant from another blackout or soot on resident rooftops. Where is that blackout report?

  5. Warrior says:

    There goes my groceries. BELCO bill been 7+.00 for about a year, last bill $160.00 because fuel adjustment was 71.00. Going to turn everything off. Feeling for Seniors and others who are struggling.

  6. Loquat tree says:

    Maybe Belco could give away free timers to customers to help them save on their bills, if they are so effective. Not everyone can afford the timers and/or installation costs.

    If oil prices are currently rising, oil reserves and oil already bought or contracted must be at the previous lower rates, so why such a large increase, albeit reduced from the original ask?

  7. Bright and Early says:

    That is a lie. Groceries have gone up at least 15% in the past month. Who gave you those figures because according to the consumer me I note all the prices when I go shopping every week. Last year Roman noodles were 75c to $100 now they are $120 can you believe and that’s not all produce e.g. lettuce went up from last week 2 lettuce head from $7 to $10, I refuse to buy them. Most items have gone up this week. So where does the government get it’s figures. Certain grocery stores and I won’t name them have risen there prices up more than 20%. It would be a good idea for someone to go and look at different grocery stores you would be amazed at the price difference.