This month until June of this year, users of the country’s electricity service will receive in their billings a new increase in the price of the electricity rate that is sent to them each month by the Electricity Distribution Companies (Edes- Edesur, Edenorte and Edeeste), by order of the Superintendency of Electricity (SIE).
The measure, which is contained in the new resolution SIE-021-2022-TF, meets the provisions of the Electric Pact, will impact residential customer rates by 9%. The resolution also applies to customers of the isolated circuit operated by Edesur in the province of Pedernales, with a consumption range of 0 to 300 kilowatt hours.
The increases, although they are not as significant with respect to the first quarterly increase applied in the last January-March period, since the highest increase is RD$2.68, will again impact inflation in the Dominican Republic which is already close to double digits.
The SIE justifies the measure due to “The current and widespread volatility in international prices mineral coal, natural gas, oil and fuels used for electricity generation.
The SIE published a table on its website in which it explains that the rates apply to BTS.1 clients (residences) with a consumption of 0 to 300 kilovaries hour per month.
In addition two rates, one reference and one transition. The SIE explains that for consumption between 0 and 300 kilowatt hours per month, the Edes must charge the first 200 kW/h with a price of the first range and the 100 kW/h at a price of the second range. The remaining 400 kW/h must be applied at the price of the third range and those of 700 kW/h must be invoiced at prices of all ranges.
Transition fees will be applied to users with fees BTD, BTH, MTD-1, MTD-2 and MTH.
Opinion
The specialist in the electricity sector, Bernardo Castellanos, affirms that it is about “brutal increase for customers that consume up to 200 kilowatt hours per month, which represent around 75% of the distributors’ customers”.
Castellanos defines the Electric Pact as “a tome”. He says that the coal used by Punta Catalina has been paid at exorbitant prices, that is, up to US$387 per ton, which represents an annual expense of over US$200 million.
“The Electric Pact is a tome that has been used as an excuse only to increase the rate”, indicated, by qualifying the measure as abusive for the population.
Electric rates
BTD customer bills (with maximum power) must include a fixed monthly charge that will be applied even if the customer does not consume and an energy charge that is obtained by multiplying the kWh consumed by its unit price. Bills for BTS1 (residential) and BTS2 (commercial) customers include a fixed monthly charge that varies depending on the customer’s consumption. The Hourly Low Voltage rate (BTH) and the MTD1, MTD2 and MTH also have fixed charges for energy and power,
First adjustment in 2021
The Superintendence of Electricity (SIE) did not adjust the prices of the electricity rate since 2011 and started increasing them from last year.
Covenant
The Electric Pact establishes a quarterly adjustment in the prices of the electricity rate charged by EDES to their customers.
Previous
The previous resolution applied until March 31 (January-March 2022) included a new fixed charge, so that the RD$4.44 that is applied to the consumption of 100 kilowatt hours was RD$5.66, and from 201 kWh to 300 kWh pass from RD$6.97 to RD$7.99.
January March
The residential customer who consumed 301 to 700 kWh paid a rate of RD$10.86, which was raised to RD$11.56 and those who paid a consumption of more than 700 kWh who paid RD$11.10 per kWh paid until March 1 RD$11.79 per kWh.
Moment
The current fixed charges will be RD$128.96 for consumption of more than 700 kWh in Edesur, RD$127.18 in Edenorte and RD$128.20 in Edeseste.