Jun 08, 2020
Effective July 1, 2020, residential and commercial customers of the Virgin Islands Public Services Commission will benefit from an approximate 1.5 cent drop in the per kilowatt hour rate. Residential customers utilizing 400 kilowatt hours per month will see a bill totaling approximately $159 while a commercial customer’s bill for usage of 2,000 kilowatt hours will average $900.
In making the announcement, Virgin Islands Water & Power Authority Executive Director Lawrence J. Kupfer further explained that the per kilowatt rate for residential customers using less than 250 kilowatt hours per month is 39 cents, and the rate is at 41 cents for consumption equal to and greater than 251 kilowatt hours. Commercial customers will pay a rate of 45 cents per kilowatt hour. The lower per kilowatt hour rate will be reflected on customer’s July bills, and remain in place thru December 2020.
“We are mindful of the economic challenges facing residents of the territory and support this decrease in rates. Additionally, our generation dispatch is utilizing more LPG as the primary fuel for power generation. During the six-month period that the rate will be in effect, we anticipate the Harley power plant on St. Thomas will become 100% operational on propane similar to the Richmond power plant on St. Croix. Our operational costs have improved as we have utilized more propane although the price spread between oil and propane on world markets is not as large as it has been historically,” Mr. Kupfer added.
Mr. Kupfer noted that the new rate does not include deferred fuel costs and cautioned the PSC that future filings for LEAC adjustments will include a deferred fuel amount. The Authority, he said, will also file a deferred fuel reconciliation with the commission once Fiscal Year 2018 audited statements are completed.