The Government has applauded fuel adjustments that will deliver lower energy bills for most residential customers.

Belco announced last week that new electricity rates will come into effect on January 1, with an increased base rate offset by a reduction in the fuel adjustment rate.

The Ministry of Home Affairs said the changes would result in an average reduction of 0.54 per cent to 2.66 per cent across customer classes.

The statement added that the lowered electricity rates would offer financial relief and contribute the island’s economic recovery.

Walter Roban, the Minister of Home Affairs, said it aligned with the Government’s “commitment to ensuring energy affordability, reliability and sustainability”, and thanked the Regulatory Authority along with Belco.

According to belco.bm, for residential customers, the base rate for the first 250 kilowatt-hours will rise from 15.509 cents to 17.193 cents as of the new year.

Rates for the next 450kWh will increase from 27.692 cents to 30.698 cents, while the rate for additional kilowatt-hours will rise from 43.616 cents to 48.350 cents.

However, the FAR will fall from 17.539 cents per kilowatt-hour to 13.36 cents, also on January 1.