By Claudia Liburd
Nevis Reporter
(Charlestown; Nevis) The New Year will be ushered in by the Nevis Electricity Company (NEVLEC) with a fuel surcharge to be paid by domestic customers on their monthly electricity bills.
The fuel surcharge which will be administered from January 01, 2007, was one of the fiscal measures outlined by Hon. Joseph Parry yesterday, as he presented his first budget as Premier of Nevis.
"I've already explained that the fuel surcharge facility given to domestic users is a huge burden on our government and is impairing our ability to carry out our people-empowerment programs," he said.
"With effect from January 01, 2007, domestic consumers will be required to meet the cost of the fuel surcharge; however, the government will continue subsidizing the cost of electricity for persons who are considered to be indigent&."~~Adz:Right~~
Parry said that the CDB has also insisted that the fuel surcharge be passed on to the domestic consumer before the loan funds are disbursed for the upgrading of the electricity services.
He went on to explain that based on the fiscal situation which he outlined, the surcharge was necessary for the NRP-led Nevis Island Administration to be able to fund people-empowerment programs and strengthen the financial state of the country.
"The previous government sought to play politics with the tariff structure for NEVLEC by agreeing not to pass on the payment of the domestic fuel surcharge to customers, knowing that it was a condition precedent for the CDB loan. This is not a sensible and transparent practice and it is now placing additional pressure on the financial resources of the government," he said.
"It is our intention to properly implement the domestic fuel surcharge by passing it on to the domestic customers so as to establish a fair, transparent, accountable and proper tariff similar to the practice of all the other utility companies in the region and throughout the world. We did not hide from our responsibilities for political gain. All of our citizens must benefit, but they must also share in the cost of economic development."
