Business

DAIC proposes ‘fair electricity rates’, for small businesses

By Admin,Dominica Electricity Services

Copyright dominicanewsonline

DAIC proposes ‘fair electricity rates’, for small businesses

Recently, the Independent Regulatory Commission (IRC) announced plans to overhaul Dominica’s electricity pricing framework, with a focus on promoting energy efficiency and giving consumers more authority over their electricity costs.

As reported on Dominica News Online, this initiative was discussed during a Stakeholders’ Forum on May 13, where the Commission outlined its modernization strategy for the tariff structure, including implementing Time-of-Use (TOU) tariffs. Once approved, these new rates will be adopted by Dominica Electricity Services Ltd. (DOMLEC).

Various customer segments, including residential, commercial, industrial, and hospitality sectors, are expected to be impacted by this revised tariff plan.

Additionally, a monthly Maximum Demand Charge will replace the current Installed Capacity Charge for large commercial, industrial, and hotel clients—defined as those consuming over 500 kWh per month—with future plans to incorporate Key Performance Indicators (KPIs) aimed at improving DOMLEC’s operational efficiency.

Currently, all commercial entities are categorized under a general commercial rate structure. However, DOMLEC has proposed establishing a “Small Business” category, which could offer differentiated rates more suited to small enterprises. This would include non-residential consumers with monthly usage up to 500 kWh, alongside a straightforward fuel charge, and a fee to cover geothermal energy procurement costs.

The Dominica Association of Industry & Commerce (DAIC) stated that it has examined this proposal and highlights that the primary eligibility criterion is an energy consumption cap of 500 kWh per month.

However, DAIC’s review indicates that many small office units may surpass this threshold even with modest operations.

Consequently, the association plans to advocate “for a more realistic and inclusive consumption threshold to better reflect the actual energy usage patterns of small businesses.”

To strengthen their position, DAIC urges businesses to review recent energy bills and submit basic consumption data.

The organization added that the “primary data will help strengthen our position and ensure the revised tariff structure fairly supports the private sector’s sustainability and competitiveness.”

Small businesses may submit their consumption information here.