PUC to Test New System for Monthly Electricity Bill Adjustments

The Public Utilities Commission (PUC) is preparing to test a new system that could eventually allow electricity bills to change from month to month based on the actual cost BEL pays for power. The proposal will not take effect immediately. Instead, the PUC says it will first place BEL’s proposed Cost of Power Adjustment, known as COPA, inside a Regulatory Sandbox for close monitoring and testing.  In simple terms, the sandbox is a controlled trial. It will allow the PUC to examine whether the COPA system works fairly before deciding whether it should become a permanent part of Belize’s electricity tariff structure. Under the proposal, BEL would be able to request monthly adjustments when the actual cost of purchasing electricity differs from the cost already approved by the PUC.  However, BEL will not be allowed to change rates on its own. The commission has made it clear that BEL must submit a monthly request, supported by financial and operational information, and the PUC must approve any adjustment before it can be placed on customers’ bills.  The PUC says the trial will help determine whether smaller monthly adjustments can prevent large increases from building up over time. It will also assess whether the proposed system can protect consumers from sudden and significant jumps in their monthly bills. Any approved adjustment would appear as a separate item on electricity bills and would apply to all customer groups except those receiving the Social Rate.  For now, electricity rates will remain unchanged from July 1, 2026 through June 30, 2027. The sandbox exercise will only begin after the PUC issues its final decision on BEL’s annual rate review. The commission is inviting written comments from consumers and other interested parties up to July 13.