No fees for FEA customers: Dr Reddy

Households consuming monthly electricity loads up to 500 units will not be charged any fees from the Fiji Electricity Authority (FEA).

This has been revealed by Commerce Commission Chairman, Dr Mahendra Reddy in their determination of FEA’s General Extension Policy today.

In its findings the Commission also highlighted that for monthly loads between 501 units to 1000 units; 50 percent of the cost of extension may be charged as an interest free deposit which is to be fully refunded after 8 years of continuous usage.

And for monthly loads above 1000 units, he said 100 percent of the cost of extension may be charged as an interest free deposit which is to be fully refunded after 8 years of continuous usage.
 
“Should a customer close business and stop consuming electricity within the stipulated period above, then the refund will be made on a pro-rata basis.” He said.

Dr Reddy told FijiLive that FEA can make a case to Government for support for capital infrastructure in the rural areas where such extension may provide low returns.

“This again is purely a transaction between Government and FEA and FEA must not involve the community, firms, households and consumers in anyway.”

The announcement was triggered following a report from a resort on how FEA has been abusing its absolute market power in requiring them to pay for their capital costs.

There were also some other complaints that the Commission received this year.

The Commission called for public’s submission on this matter before concluding their investigation on FEA.

By Nasik Swami

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