THE Office of Utilities Regulation (OUR) says it will be working to verify the composition and computation of Jamaica Public Service (JPS) charges after the company advised it of steep increases in fuel costs and other related charges that are expected to impact customers’ bills in coming months.

The OUR said it has asked the light and power company for additional information, including:

* the rates and charges applied to customer categories for 2021 November and 2021 December;

* analyses of the increases in fuel and independent power producers’ costs arising from the switch from natural gas to automotive diesel oil (ADO); and

* an explanation as to why some plants switched from natural gas to ADO.

“The OUR expects to receive all requested information from JPS by 2021 December 24,” the regulator said.

The JPS has attributed the increases to the:

* higher commodity prices for oil and natural gas internationally;

* devaluation of the Jamaican dollar to the US dollar; and

* temporary switch from natural gas to the more expensive ADO at several plants for a combination of reasons.

The OUR said it recognises the potential rate shock to customers but is also mindful that costs pertaining to charges by independent power producers and foreign exchange rate movements are direct pass-through to customers. “These are explicitly provided for in the Electricity Licence (2016) and the JPS Rate Schedule and as such are not subject to regulatory control,” said the OUR.