George Davis, guest columnist

The energy minister, Phillip Paulwell, has taken a lot of stick from members of the advocacy group, Citizens United to Reduce Electricity (CURE), for the turn of events regarding the all-island licence granted to the Jamaica Public Service Company (JPS) by the People’s National Party (PNP) administration in 2001.

The criticism, including the claim that the minister has betrayed the Jamaican consumer by supporting his Government‘s decision to appeal the ruling, is fully merited. The minister, whose popularity was in the early part of its growth phase at the time, effectively ‘called down crosses’ upon himself by hailing the July 30 Supreme Court ruling of Justice Bryan Sykes as a major decision in his own bid to bring competition to the energy sector.

The lawyer for CURE, Hugh Wildman, is on record saying Minister Paulwell told him privately that the court ruling will allow him and his Government to break up the JPS monopoly on the transmission and distribution of electricity.

With that admission, Paulwell effectively cut his own tamarind switch and asked CURE to flog him senseless after the reasons for the Government’s decision to join the JPS in appealing the ruling were articulated in the House of Representatives by Attorney General Patrick Atkinson on November 6.

Gathering storm

But the wrath at Paulwell’s impression of a ‘two-side cutlass’ is threatening to relegate the real issues, concerning the court ruling, to the sidelines. Principal among those real issues is the fact that in reality, the landmark victory secured by CURE in the Supreme Court would create an unprecedented crisis in every atom of the Jamaican society.

If, as the court found, the JPS’s all-island licence was indeed invalid, and the decision should be enforced, what would happen to the company’s operations? At what point would the JPS turn off the lights, send its employees home, and call time on its business interest in Jamaica?

What would Portia Simpson Miller, her Government and the citizenry do when JPS, with justification, demanded the return of the billions of dollars invested in its business, on the premise of being a monopoly, since 2001?

How would Government deal with the fact that it now has to foot a massive bill for a licence that it granted to the utility provider to meet the country’s energy needs?

For anyone in the dark about why the attorney general was moved to advise the Government to appeal the ruling, I ask only that you think very carefully on these things.

We should agree that shutting down the sole transmitter and distributor of electricity won’t translate into lower light bills for us, the hard-up and long-suffering JPS customers. If such a ruling were handed down against a company similar to the JPS today in, say, England, where Wildman found a 1913 court ruling to strengthen his arguments in the court, I could understand and accept.

No competition here

But England today, with its 42 counties, has more than 70 companies which supply customers with electricity or a combination of electricity and gas. Shutting down one of so many providers simply allows the customer to call in npower or a Sainsbury’s Energy to supply their electricity needs. That, unfortunately, is not the reality in Jamaica.

In all this, one must sympathise with the members of CURE. Theirs is, and continues to be, a gallant effort to do something about the crippling cost of our residential and commercial electricity bills. Hugh Wildman is a ‘square-shooting

Irregular power supply wreaks havoc with equipment

Several public-sector entities are now reporting damage to expensive equipment because of surges in the electricity supply from the Jamaica Public Service Company (JPS).

The power surges have left some entities nursing hefty repair bills, while they await compensation.

Among those hit hardest are hospitals, whose existence depend on sufficient electricity to keep life-saving equipment running.

The JPS has admitted that there have been complaints and claims for compensation from public entities such as hospitals but it has refused to provide details.

But checks by

THE Jamaica Public Service (JPS) says it will be rolling out an education campaign as it seeks to partner with communities to manage overhanging vegetation around utility poles.

President of JPS Kelly Tomblin said while the company has always had a vegetation management programme, it will be stepping up its efforts to deal with the problem, which contributed in part to the more than 6,000 poles that fell during the passage of Hurricane Sandy last month.

TOMBLIN… Vegetation management requires a lot of community interaction

“When I first came I contacted some experts on vegetation management to come down to Jamaica and work with our team and start a new vegetation programme a month before the hurricane,” Tomblin told editors and reporters at the Jamaica Observer weekly Monday Exchange held at the newspaper’s head office in Kingston.

Vegetation management, she said, is not only about removing the overhanging trees and shrubs but being able to stump their regrowth through the use of chemicals.

“We have recently made some changes in how we do vegetation control,” Tomblin said. She said vegetation management is particularly challenging in Jamaica because of the remote areas and how plants such as bamboo grow, and as such there is need for another approach.

“Vegetation management requires a lot of community interaction… and so one of the things we hope to have more is community partnership in vegetation control both on individual owner perspective and community,” Tomblin said.

Speaking to the power company‘s handling of the restoration programme across the island in the aftermath of the category one storm, Tomblin said there is a limitation to the appropriate resources the company has at its disposal.

“We all wish we had unlimited resources, and if we did, instead of 80 crews we would have trained and ready to go 200 crews, but that would mean an even greater upward pressure on electric prices because most time we are not having an outage,” Tomblin said.

Given the challenges, Tomblin said the company did well in restoring power to 90 per cent of its customers in four days.

“From my more than two decades being involved in storm restoration, having 90 per cent of customers back in power after a hurricane is a very good solid performance,” she said.

“To get 90 per cent of the people back in four days, I don’t know how much you can improve on that,” she added, noting that there are ways to make significant improvement on the remaining 10 per cent.

She said there is a disconnect in the understanding of what the JPS teams really do go through and what is required.

“If I tell a guy from the United States to take a pole and walk down two miles they would look at me like I have three heads, because they are not going to put that on their back and walk down the hill, but our guys have to do that,” she said.

To date, the JPS said only 2,000 of its 480,000 customers are still without power. For these customers, Tomblin said the workers are having problems accessing the areas because of landslide and other challenges.

The preliminary estimate for the restoration works is said to be in the region of US$7 million, and is expected to climb.

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Energy Minister Phillip Paulwell
Energy Minister Phillip Paulwell

Power provider Jamaica Public Service Company (JPS) currently passes on to its consumers 17 per cent of the costs of its inefficiencies – including illegal extraction of power – valued at billions of dollars, says Energy Minister Phillip Paulwell.

But the Government is determined to have those inefficiencies, including heat losses, decreased even before the liquefied natural gas plant to be constructed by the JPS at Old Harbour, St Catherine becomes operational in two years or so.

“Currently, the JPS passes on 17 per cent of its inefficiency to all of us,” said Paulwell, the minister of science, technology, energy and mining.

“Some of that inefficiency is as a result of theft and we have to solve that problem. There are some discussions now taking place to deal with that,” said the minister addressing an executive breakfast meeting organised by First Global Bank at the GraceKennedy headquarters in Kingston on Friday.

“We believe that there is more that can be done about theft, and when we looked at the data it is not only downtown or my constituency (of East Kingston and Port Royal). We see some substantial numbers uptown and it is not fair. It is immoral for us to be paying for that.”

mcpherse.thompson@gleanerjm.com

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THE EDITOR, Sir:

The near-monopoly electricity provider, Jamaica Public Service Company (JPS), has unilaterally decided that it will be estimating our bills based on the last three months’ consumption, as if our usage remained intact for October, the month Hurricane Sandy devastated parts of the eastern end of the island.

Those of us in the east who were without electricity service for an average of three to seven days, having been made to pay this estimated bill for October, will be credited thereafter in November when the meters are read.

This means that JPS will be holding the amount for which we are to be eventually credited, for 30 days after taking it from us! That portion, which is bound to be a multimillion-dollar figure, will, in reality, be a 30-day Sandy loan from us all to JPS.

Consider this iniquitous approach against people who have already suffered loss from the hurricane!

If we, the consumers, had a say in the matter, the approach to billing could be more equitable, in that they could simply charge us 80 per cent of the average of our previous three months’ consumption, and for November, reconcile our accounts after there is a reading.

To dictate that it will be an average of our past three months’ payments is to demonstrate the stranglehold monopolies providing an essential service have upon our meagre wallets. JPS must be reminded that we are all parties to a contract with them to provide service, and in that respect, the voices of the consumers are as important as that of the provider.

BERT S. SAMUELS

Attorney-at-law

bert.samuels@gmail.com

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ELECTRICITY theft continues to hit the Jamaica Public Service Company (JPS) hard, amounting to US$32 million so far this year. In fact, so pervasive has been the illegal activity that the company is acknowledging that it is running out of options to stem it.

“It’s at a high rate, and I see it increasing, simply because as electricity rates increase… We have run out of options, we have just run out of options,” Kelly Tomblin, JPS’s president and CEO told the Jamaica Observer Monday Exchange yesterday.

Jamaica Public Service Company (JPS) President and CEO Kelly Tomblin (left) addressing yesterday

THE Jamaica Public Service Company (JPS) says that it is prepared to grant some leniency to its customers, particularly those in Portland, St Thomas and St Mary, who are struggling to recover from the effects of Hurricane Sandy.

The move apparently forms part of efforts by the company to improve its customer service, for which it has received harsh criticisms over the years.

JPS customers in areas like this in Eastern Jamaica which was devastated by Hurricane Sandy last month will benefit from some leniency with bill payments from the light and power company.

Since her arrival in Jamaica earlier this year, the company’s President and Chief Executive Officer Kelly Tomblin made it clear that she intends to reposition JPS by paying attention to its customer service flaws, as she focuses on the company’s bottom line.

Tomblin, who was a guest at yesterday’s Jamaica Observer Monday Exchange, disclosed that instructions have already been given for its parish managers and customer service personnel, particularly in the hard hit areas, to exercise discretion and to work with customers who may not be able to settle their bills in one payment.

“This is an important part of JPS that I am committed to. Our customer service personnel and professionals have some parameters, especially around St Mary, St Thomas that really it has to be on a case-by-case scenario. I have also said to my team, people are going to have hard times, because not only have they lost power, they have lost a lot more and to work with them, we are going to have some discretion to make sure we don’t overburden them,” said the JPS CEO, even as she made it clear that the company will still have to honour its debt obligations to its suppliers, particularly state-owned oil refinery Petrojam from which it purchases fuel.

Tomblin’s pronouncement came less than 24 hours after the company announced that about 20 per cent, or approximately 123,000 customers, would be receiving estimated bills for October as a result of the disruption in its meter-reading schedule.

“JPS was unable to carry out meter reading in some communities in the period immediately after the hurricane, as many of the company’s meter readers were redeployed to assist with restoration,” explained Winsome Callum, JPS’s head of corporate communications, who was also a guest at the Monday Exchange.

“Our billing system is set up to calculate estimated bills using an average of the last three actual readings of the customer’s meter. Some customers may therefore have been estimated for days when they were without electricity following the hurricane,” Callum added.

Checks by the Jamaica Observer have revealed that the affected customers could actually see an initial increase in their bills as the three-month average will include consumption for the months of July and August which are normally characterised by higher energy consumption.

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The Jamaica Public Service Company (JPS) has said that some 123,000 customers will receive estimated bills for October.

The company said this was due mainly to the disruption in the company’s meter-reading schedule caused by Hurricane Sandy. The JPS said it was unable to carry out meter reading in some communities in the period immediately after the hurricane, as many of the company’s meter readers were redeployed to assist with restoration.

However, yesterday the company was unable to state the communities that would be getting these bills.

“Our billing system is set up to calculate estimated bills using an average of the last three actual readings of the customer’s meter. Some customers may, therefore, have been estimated for days when they were without electricity following the hurricane,” explained Winsome Callum, JPS head of corporate communication.

Callum said in the event that a customer’s usage is overestimated, this will be reflected in the next meter reading. She said based on the reading, any necessary adjustment will be made to the customer’s next bill to reflect his or her actual usage.

The JPS says customers who have concerns about their bills are asked to contact customer care centre at 1-888-225-5577 (LIME) or 1-888-935-5577 (Digicel), or visit their nearest customer service office and speak with a representative.

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