Puerto Rico residential clients to pay 15.9% more for electricity on July 1
Puerto Rican residential consumers will see a 15.9% increase in their monthly electricity bills starting July 1, after the Puerto Rico Energy Bureau approved the most recent rate adjustment for the service.
In a release, the agency confirmed the increase in the cost per kWh will be of $0.04578 for the quarter, to cover cost factors including fuel and energy purchases, and fuel subsidies.
For a residential customer with an average consumption of 800 kWh per month, the new price for energy service will be 33.4 cents per kWh, compared to 28.82 cents per kWh for the previous quarter.
In dollars and cents, this means that a residential customer who paid $230.59 for their monthly electricity bill during the current quarter will pay $36.62 more, or $267.21, for the same monthly consumption starting in July.
“The factor that continues to affect the cost of electricity service in Puerto Rico the most is the international price of oil and other fossil fuels,” said PREB President Edison Avilés-Deliz.
“I reiterate my call for the entire island, and very particularly the Puerto Rico Electric Power Authority (PREPA) and LUMA, to focus on the transition to renewable energies, particularly with large-scale solar projects,” he said.
“Otherwise, we’ll continue to be kidnapped by the fluctuations in the prices of diesel and natural gas,” said Avilés-Deliz.
The cost per kWh will be reviewed again on or before Oct. 1, 2022.
In its review, the agency also approved the annual adjustments for the new fiscal year that runs from July 1, 2022, to June 30, 2023, that take into consideration the Contribution in Lieu of Taxes for municipalities, social interest subsidy, and other unspecified subsidies.
The PREB also ordered PREPA to submit on the 15th of each month, a detailed report on the results of the actions taken related to claims under the contracts between the public corporation, and New Fortress and Naturgy, whose failure to supply natural gas forced PREPA to substitute that fuel with diesel, which still implies higher generation costs, it stated.