Misguided by JPS

THE EDITOR, Sir:

This has been written in response to an article, 'JPS ebills are optional', that appeared in your edition of August 5.

1 The JPS says consumers only pay for 17.5 per cent of electricity losses, as of June 2011, and the rest is absorbed by the JPS. It is wrong to even suggest this, as this 17.5 per cent only affects the fuel and IPP charge. The fuel and IPP charge is also dependent on the heat rate which the JPS is able to use to offset the electricity losses by keeping the actual heat rate lower than the target set by the OUR (check the issue surrounding the Bogue Plant); the implication of this is that the JPS is able to increase the fuel and IPP charge through the heat rate component.

2 The consumer pays for every single per cent of electricity losses based on the difference between JPS's projected sales and what is produced. This is reflected in the energy charge on your bill which is increased annually. The energy charge is set at the start of the tariff period which began in June 2009. Consumers were paying for about 23 per cent of electricity losses then. It should be noted that the current efforts of the JPS at reducing electricity losses have no direct impact on the energy charge during this tariff period.

3 It is also important that the JPS doesn't give the impression that all of the losses are due to electricity theft or consumers are the only ones responsible for all of these losses. This might be misinterpreted in the response it provided to the consumer in the article 'JPS ebills are optional'.

I am, etc.,

Informed Consumer