The Public Utilities Commission and Belize Electricity Limited are at war again,
but this time it’s not over rates, it’s about what are called new
service installations. And as these elephants battle, the consumers are the
one being trampled underfoot. First of all, you need to know what we mean by
new service installations. The term is used to refer to power being connected
to new buildings. BEL is also not performing line extensions or upgrades.
BEL’s position is that the PUC has set a limit of $25 million on its
capital spending, and the power company has now exceeded that limit. And because
installations fall within that capital spending, even if the consumers pay –
as they must, BEL still classifies it as capital spending. And because the company
is above the limit, it can’t spend anymore, which means that if you need
power connected to your building, a line extension or a temporary connection,
you’re out of luck because BEL won’t, or can’t do it.
The PUC’s position is that the explanation is bogus. The regulator maintains
that the cap on spending does not affect new service installation, line extensions
or temporary connections. Observers who are in the know tell us that the PUC
feels BEL is purposefully lending an adverse interpretation to the cap on spending,
and in so doing is leveraging angry consumers who just want their power connected,
against the PUC. Again, we stress that is not an official position just what
we’ve picked up from talking to a number of political sources.
But whatever the case, the battle continues, and it will be interesting to
see if BEL capitulates tomorrow after the PUC issues a public position statement.
If it does not, it is left to be seen what the PUC will do to compel BEL to
honor the terms of its license.