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Shock and Awe: Electric Rates Rising

April 11, 2008

Residential electricity rates will rise an average of 11% to 41%, according to the Public Services Regulatory Authority (ARESEP).

Fernando Herrero, the regulator general, cited increased demand for electricity, a recent reduction in hydroelectric generation capacity, and the rapid rise of petroleum prices among the reasons for the higher rate of increase this year.

Residential users who consume 200 kilowatt-hours per month of electricity will see an average increase of 11% in their bills.

Users of between 200 and 300 kwh will see a 14% increase, and consumers of more than 300 kwh will be dinged with a 41% increase. Rates for factories will go up 22%.

“There is no more cheap electricity,” Herrero said.

The new rates take effect in mid-April.

 

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