Government’s rejection of Belco’s rate rise appeal puts the reliability of Bermuda’s power supply at risk and stops the creation of 100 construction jobs, the utility company said yesterday.Belco president Andrew Parsons said the company was “disappointed” with Environment Minister Marc Bean’s decision.It was announced this week that the MP had rejected the majority of Belco’s appeal of the Energy Commission’s finding against a rate increase to support the building of a new North Power Station.Those plans have since been put on hold.Rate hikes would have enabled Belco to secure debt financing of $70 million required to build the new power plant, Mr Parsons stated.He said the company planned to seek judicial review of the Commission’s finding.Mr Bean yesterday said he understood Belco’s planned power plant was “critical” but that the Bermuda public should not have to foot the bill for building it.He said he hoped to sit down with Belco management to discuss “alternatives and other options” for raising capital to finance the new plant.“Our approach balances the need for a new power generation plant with economic concerns,” Mr Bean said.“The decision was made with the interests of the Bermudian people at heart. In fact, Belco itself recognised the difficult economic times when they elected in 2011 not to increase rates as per the rates approved back in 2007 by the former Price Commission. This speaks to Belco’s knowledge and sympathy for the economic hardships suffered by the rate payers, and unfortunately that hardship still continues.”Responded Mr Parsons: “While we understand the Minister’s reluctance to allow a rate increase during these tough economic times, this decision puts reliability of electricity supply into jeopardy. It also reduces opportunities to improve fuel efficiency to reduce costs in the mid- and long-term, and limits the viability of conversion to less expensive liquefied natural gas as a possible long-term option for Bermuda’s electricity generation.”Belco said the application submitted to the Energy Commission in October 2011 was for an average increase of 4.3 percent, 3.9 percent and 4.1 percent respectively, over the next three years to support the building of the North Power Station to replace the inefficient, ageing plant.Mr Parsons said: “Belco cannot build the North Power Station unless the company receives a rate that will support the debt financing of $70 million required to build the power plant.”