URCA Fines BPL
27 November 2019
PRESS RELEASE
FOR IMMEDIATE RELEASE
URCA finds BPL to be in breach of its Public Electricity Service Licence and the Electricity Act, 2015
The Utilities Regulation and Competition Authority (URCA) has found the Bahamas Power and Light Co Ltd (BPL) to be in breach of its Public Electricity Service Licence (PESL) and the Electricity Act of 2015 (EA) and has consequently fined the power company the sum of Two Hundred and Twenty-nine Thousand Five Hundred and Thirty-five Dollars and Thirty-four cents (B$229,535.34).
On 26 November 2019 URCA issued a Final Determination and Order to BPL in accordance with Section 64(1) of the EA. The regulatory measure was issued consequential to URCA’s own-initiative investigation in respect of suspected breaches of section 12 and 24 of BPL’S PESL and section 74 of the EA. The measure follows a Notice of Preliminary Determination and Draft Order dated 13 September 2019 and issued by URCA to BPL.
On 8 March 2019 and 16 July 2019, URCA gave notice by letter to BPL that URCA had initiated two investigations, the first was in reference to a significant fire at BPL’s Clifton Pier Power station on 7 September 2018. The fire caused widespread outages on New Providence and resulted in the loss of significant generation capacity. The second investigation concerns BPL’s announced ‘load shedding’ during summer 2019. As a result of the ’load shedding’, BPL’S system was impacted by frequent outages in the supply of electricity to customers which has had a serious adverse impact on the public.
URCA in exercise of its obligations as regulator and in accordance with section 74 of the EA, requested information from BPL to inform its deliberations. In each case, BPL either failed and/or refused to provide the information requested. BPL’s failure and or refusal has had and continues to have an adverse impact on URCA’s ability to carry out its regulatory functions under the EA.
By Final Determination made on 26 November 2019, URCA determined that BPL breached section 74 of the EA and Conditions 12 and 24 of the PESL, by having failed and/or refused to fully comply with URCA’s requests for information made in accordance with the EA and the PESL.
URCA considered the alleged contraventions of the EA and licence conditions by BPL to be
repeated and continuing breaches. URCA further considered that the failure and or refusal by BPL to provide the information requested in accordance with the EA and the Licence was sufficiently serious to warrant the imposition of a fine.
Therefore as a result of the breaches, BPL, has been ordered to pay a fine in the total amount of Two Hundred and Twenty-nine Thousand Five Hundred and Thirty-five Dollars and Thirty-four cents (B$229,535.34). The fine must be paid no later than thirty (30) calendar days from the issuance of this Order. Payment of such fine shall be as directed by URCA.
MEDIA CONTACT
Mavis Johnson-Collie,
Corporate & Consumer Relations Manager
Utilities Regulation & Competition Authority
P. O.Box N-4860
Frederick House, Frederick Street
Nassau, Bahamas
Tel. (242) 393-0234 (Main)
Tel. (242) 396-5201 (Direct)
Facsimile: (242) 393-0153
Web: www.urcabahamas.bs
mjcollie@urcabahamas.bs
