JPS RESPONDS to billing controversy

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Reeling from more than two weeks of controversy sparked by the unusually high light bills being issued to their customers, the Jamaica Public Service Company (JPS) has sought to explain what caused the billing errors.

In the last two weeks, customers of the light and power company, across the island have been complaining that they have been receiving usually high bills. The company has since explained that the errors were caused by the interruption with the company’s metre reading schedule.
According to the company’s external affairs manager for the JPS’ region west, Kathleen Cooke, the passages of Tropical Storms Fay and Gustav coupled with the Emancipation and Independence holidays prevented crews from doing metre readings.


As a result some customers were given an estimated bill for a 41 day billing period. The company is not allowed to present bills exceeding a 30 day period.

Two Friday’s ago, the OUR instructed the JPS not to disconnect anyone who have been billed for the 41 day period, and as at November 2008 no estimated bills are to be issued for a period exceeding 30 days.

She added that the cost of fuel has also played a major part in the rising costs of electricity bills sent to disgruntled customers across the country. The Office of Utilities Regulation (OUR) approved rate adjustment which came on stream in June is another factor.

In the meantime, Miss Cooke commented to the Western Mirror that a bill for a customer’s account which appeared on the front page of the Monday, September 15, 2008 edition which indicated that $2,589,341.71 was the total amount due.

“The account in question on the front page of …. yesterday’s (Tuesday, September 16, 2008) Western Mirror is really an unfortunate affair in fact … there was an error made on the customer’s account this error was made in June of this year, discussions were held with the customer’s and the account was adjusted. We were of the belief of that the matter had been settled,” Miss Cooke explained.

FUEL BILL
Meanwhile, the JPS has sought to explain that they are working assiduously to pay off their debt to the oil refinery company, Petrojam. Last Tuesday, Energy Minister Clive Mulling revealed in parliament that the company owes Petrojam $5.7 billion for fuel used in the generation of electricity.

In a radio report carried last week, the JPS promised to clear its arrears with the oil refinery before the end of September. The company admitted that it has been struggling with its fuel bill which amounted to a $37 billion between January and August of this year.

The company further admitted that as a result of recent unpredictable increases in the price of fuel there have been slight delays in the payment of its bills to Petrojam. It was also reported that a payment plan is in place but not withstanding this, the company is reportedly struggling to pay off its debts.

JPS IN FINANCIAL JAM?
In the meantime, reports also surfaced yesterday that the light and power company might be in a financial jam. Mullings’ announcement triggered immediate concerns about the way Marubeni is managing the company.

There are reports that Canadian energy giant Emera Incorporated is the entity being sought to acquire some of the operations of the struggling JPS. Emera Incorporated, an energy and services company based in Halifax, Nova Scotia, Canada, has close to 600,000 customers in that country and already has ties in the Caribbean. Marubeni now owns 80 per cent of JPS while the remaining 20 belongs to the government.

The OUR was on Friday presented with a report explaining what led to the foul-up with their billing system.

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