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CUC to lower gov’t power rate
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Posted on Apr 13 1999
The Board of Directors of the Commonwealth Utilities Corporation has scheduled public hearings next week regarding the adjustment of government electric rates.
The board voted several months ago to adjust or merge the government rates with the commercial rates. Right now, the government pays the highest rate of 20 cents per kilowatt-hour, while commercial rates are only 16 cents.
The board approved a move to merge the government rates back in line with commercial rates, but cannot go through with the action until public hearings are held on Saipan, Rota and Tinian.
“This is simply a legality. According to the law, we must hold the public hearings before the government rates can be merged with the commercial rates. We have already been informed that the government agencies are in favor of the move,” said CUC Executive Director Timothy P. Villagomez.
The board had earlier explained that the government rate was set temporarily higher than the commercial rate to offset utility bills and other utility payments. Now that the government is relatively up to date with these payments, coupled with the current economic situation, the board felt it would help the taxpayers to lower the government rate.
“Each time the government agencies pay power bills, that money comes from the taxpayers. So this move reduces the burden to the taxpayer. Their money can now go to more important factors,” Villagomez said.
The move to adjust the government rate does not affect either residential customers or commercial customers. Those rates are not being increased. Customers do not need to worry about that or attend the public hearings.
The hearings are being held for the government sector. The scheduled are: Tinian Gymnasium on April 19, Rota Health Center Cafeteria on April 21, and Saipan Multi-Purpose Center on April 23. They will begin at 7 PM.
