Energy Fiji Limited (EFL) has reaffirmed its commitment to a transparent and fair review of Fiji’s electricity tariffs, emphasizing alignment with the country’s National Energy Policy. The utility company highlighted that electricity plays a crucial role in daily life, economic growth, and national development.
In a comprehensive statement, EFL shared details about the thorough processes undertaken to assess electricity pricing, ensuring that the decisions made will benefit Fiji in the long run. The review involved consultations exploring how tariffs are calculated, focusing on affordability and fairness, while also examining the upkeep of essential national assets like the Monasavu and Nadarivatu hydropower stations, as well as investments in transmission infrastructure crucial for delivering electricity to homes, businesses, and communities across Fiji.
Encouragingly, over 52 percent of domestic customers, or around 99,000 households, will see no increase in their electricity costs, as these consumers typically use less power and are protected under the existing tariff structure. Specifically, households with monthly bills of $38.25 or less will not experience any changes, while those with $50, $100, $150, and $200 bills will face minimal increases, ranging from $0.35 to $7.41. Additionally, small and medium enterprises will see an increase of about three cents per unit.
EFL underscored the Fijian Competition and Consumer Commission’s (FCCC) independence and impartiality in the tariff-setting process, utilizing a regulated approach based on thoroughly audited financial and technical data. This methodology assesses the necessary costs to ensure consumers are not overcharged while allowing EFL to invest in important infrastructure.
The utility company has also implemented awareness programs to increase understanding of the tariff review and its implications, reflecting the growing energy demands in the region while maintaining a predictable tariff structure. Public feedback was an integral part of the process, showcasing EFL’s dedication to incorporating the views of the Fijian populace into regulatory decisions.
Addressing the needs of larger electricity consumers, EFL noted that roughly one percent of customers account for about 31 percent of total consumption. Supporting these high-demand users requires significant investment in infrastructure and expertise.
The tariff adjustments followed comprehensive public consultations led by FCCC throughout 2023, gathering insights from households, small and medium enterprises, and larger businesses. EFL believes it is reasonable for those customers utilizing more resources to contribute proportionally to maintenance and expansion efforts.
Moreover, EFL stated that the revised tariff levels were validated by independent global auditing firms, ensuring adherence to international best practices. Looking ahead, the company expressed that a sustainable energy future for Fiji depends on collaborative support from all stakeholders, including regulators, consumers, and development partners, in line with the Government’s National Energy Policy.
In conclusion, EFL maintains that the revised electricity tariff strikes an essential balance between affordability and long-term sustainability, protecting vulnerable households while promoting economic growth and establishing a cleaner, more reliable energy system for all Fijians.