Inside the States
Senator Alan Breckon
The price of power
Senator Breckon is calling on the States to force the JEC to cut prices by 20% from July.
Electricity costs went up 24% at the beginning of this year but one local deputy wants the price bought down again.
Senator Alan Breckon says the States have the power to do this under a local law.
The Senator will be bringing a proposal that asks the States to get the JEC to lower their charges.
Senator Breckon says that the price rise has hit people living here hard.
He told BBC Jersey: "We all need electricity in various amounts on a daily basis whether it is business small or large; small shops hairdressers, wherever it may be, also people in their home from single pensioners to families with different needs.”
Mr Breckon went on to explain that it is inflationary, he said: “everybody is feeling some effect and of course with businesses, if there is a cost to them it will be passed on.
"I think it is inflationary, it is probably the biggest single factor that will affect the domestic inflation rate in Jersey this year and if we can take some heat out of that then there is a benefit and cost saving to the states as well."
But Chris Ambler from the Jersey Electricity Company says his company can't reduce the price of electricity at the moment.
Mr Ambler explained that: "We understand that the tariff increase is significant, we understand that it is unwelcome and we understand that it comes at a very difficult time.
"However what this proposition imposes is to force a 20% reduction in tariffs. This would severely impact our ability to invest and the real issue here is that it would put the islands power supply at some risk."
Chris Ambler went on to explain that the island's power supply could be at risk if the States force the Jersey Electricity Company to reduce their prices.
He says if the States force them to they'd be unable to invest and there would be some risk to the island's power supply.
Mr Ambler said: "at this point I cannot guarantee any reduction in our prices. If we can reduce prices then I will. We are looking at every opportunity to cut costs in our business. […] As it stands I can't offer any reduction at this point."
last updated: 30/03/2009 at 09:23
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