Fears for seniors facing rising Belco bills
Age Concern wants to open discussions with community leaders about the plight of seniors in the line of fire for escalating electricity bills.The charity fears elderly people — already struggling to make ends meet during the economic crisis — will be most severely affected by another bill increase announced this month.Families are now paying 18 percent more than in June four years ago, and Belco has warned more rises are inevitable as its own cash flow has been hit by lower energy sales and customers not paying their bills.Yesterday, Age Concern called for individuals to conserve energy, Government to protect the most vulnerable members of society, and those in the private industry to help prevent the adverse impact of raising prices.The charity says it would welcome further discussion with community stakeholders on providing relief for seniors.Belco has announced the fuel adjustment rate has increased from 17.5 cents to 19.5 cents per kilowatt hour, raising the bill for a family using 730 kWh per month from $312 last month to $327 in June.Responding, Age Concern said in a statement: “With respect to the rise in electricity prices, we remain sensitive to the contribution of private industry to our local economy.“We are also sensitive to the fact that fuel prices are significantly affecting the cost of electricity which results in a price pass-through, a very typical component of electricity pricing used internationally.“It is very difficult to determine a win-win solution in the current economic context given that the alternative to raising prices could arguably mean the loss of jobs for many Bermudians.“However, as we have said in the past, relative to their fixed incomes, seniors are placed at a financial disadvantage when prices rise, which puts them in an inherent situation of double jeopardy.“Typically, retirees have no alternative source of income that they can turn to outside of their families who are also being affected by these high prices. The cost strain will inevitably create a domino effect community-wide.”Age Concern has previously called for tax breaks for seniors in the light of soaring food, electricity and gasoline prices, while families have less to spend due to decreasing wages and growing unemployment.“We all have a role to play at the energy table of accountability, and although we have little control over international fuel prices, as individuals we can do our best to conserve wherever we can,” continued Age Concern’s statement yesterday.“As a Government, we can protect the best interest of the most vulnerable of our community, which may mean tackling the fuel adjustment rate.“And, as partners in private industry we can work with our social partners to help prevent the adverse effects of raising prices in the context of the current economy. We must all be flexible in some way to alleviate the burden of increasing costs, especially for our seniors who have already given so much.“As advocates for older persons we welcome solutions that promote sustainable relief and/or protection from the consequences of rising prices.“We are also open to further discussion with relevant community stakeholders as to how such relief might be successfully achieved and sustained over time in the interest of protecting the financial well-being of our seniors.”Belco has said the fuel adjustment rate, which is determined independently by the Energy Commission, is used to pay for the growing cost of fuel.