KINGSTON, Jamaica — Electricity bills are set to increase this month after a combination of storm damage and fuel challenges pushed Jamaica’s primary power provider into costlier generation methods.
Customers of the Jamaica Public Service Company (JPS) will see their December bills — which reflect electricity used in November — climb by roughly 7 per cent. The uptick, according to the utility, is the result of a sudden shift in generation fuel following the fallout from Hurricane Melissa.
With natural gas supply lines temporarily disabled by the storm’s impact, JPS was forced to rely more heavily on alternative, higher-cost fuels. At the same time, the hurricane-induced power outages caused a sharp 30 per cent drop in overall electricity usage, placing added pressure on per-unit costs passed through to consumers.
The Office of Utilities Regulation (OUR), in response to the circumstances, has authorized a cost-recovery mechanism that delays the full burden from hitting customers in one blow. Under the plan, JPS will recoup part of the increased charges over the course of several months, aiming to soften the effect on household budgets.
For residential customers with average usage of 165 kilowatt-hours per month, the adjustment will mean a monthly increase of approximately $655 on a typical bill of $9,000.
Regulators have cautioned that system volatility may persist for as long as six months. During that window, JPS will be required to consult the OUR before introducing any additional hikes related to fuel or Independent Power Producer (IPP) expenses. The approach, the regulator said, is meant to maintain cost transparency and avoid sudden spikes in customer charges while stabilizing the grid.
While the recovery continues, both the utility and regulator stress that consumer protections remain in place — but so too does the reality of an energy system vulnerable to external shocks.
