On Thursday, October 19, 2023, the Honorable Minister Walter Roban held a meeting with key representatives from the Ministry of Home Affairs, the Ministry of Finance, the Regulatory Authority, BELCO, and SOL Petroleum to address the pressing issue of the significant increase in the Fuel Adjustment Rate (FAR). This rate increase has had substantial implications for the general public.
All of the stakeholders at the table agreed to cooperate to reduce the FAR in the immediate future. Recognising the ongoing global events driving an upward trend in fossil fuel prices, the stakeholders have also agreed to change the process and methodology for calculating the FAR. This change aims to provide a more sustainable approach to addressing the volatility in fossil fuel prices in the long term.
Minister Roban stressed, "Ultimately, any decision regulating the cost of energy must have the best interests of the public consumer in mind. Following this meeting and agreement, I am satisfied that we can avoid costly litigation related to the recent increase."
The public will soon be advised of the changes to the FAR, which will reduce the recent increase in consumers' energy bills.
Minister Roban concluded, "The Ministry of Home Affairs will continue directing policy and giving general direction as prescribed by The Regulatory Authority Act 2011, which includes remaining committed to finding responsible and sustainable energy solutions that will best serve the interests of both businesses and residents in the long term. This includes the Ministry's commitment to follow the principles and guidelines established under the Regulatory Authority Act 2011. "