Port Vila, 10 November 2022- The Utilities Regulatory Authority (the Authority) has issued a uniform electricity base tariff of 54.15 Vatu per kilo watt hour (Vatu/kWh) and a new customer category tariff structure for the Vanuatu Utilities & Infrastructure Ltd (VUI) to become effective from November 2022 billings for a period of one year.

VUI is a fully fledged utility concessionaire providing electricity services in accordance with its Concession Deed with the Government of Vanuatu, in grid connected areas on the islands of Santo, Vanua Lava, Ambae and Maewo in the northern part of Vanuatu.

Since VUI commenced operations as the electricity concessionaire in June 2019, the Authority had issued flat rate tariffs for VUI’s customers in Vanua Lava and Ambae and a consumption-based tariff for Santo and Maewo customers.   

From its recent electricity tariff review of VUI’s outer island service areas, the Authority has opted to issuing a uniform tariff for VUI to apply to all its customers in Santo and the outer islands. This means customers in Santo will experience a slight increase from the current tariff rate of 45.49 Vatu/kWh and customers in Maewo will see an increase from the current tariff rate of 38.52 Vatu/kWh.  

The Authority’s CEO confirms that “this uniform tariff mechanism enables VUI’s electricity customers in Santo to subsidize investments and operational costs in the outer islands, hence enabling electricity to become more affordable to VUI’s electricity customers in Vanua Lava, Ambae and Maewo whilst ensuring long term sustainability of electricity services. The Authority’s recently approved Five Year Strategic and Action Plan calls for better alignment of its regulatory functions with broader Government strategic priorities and objectives. The recently approved tariff for VUI is very much in support of the current Government objectives of electricity being affordable for customers and 100% electricity access through use of 100% renewable energy by 2030.”  

The Authority has subsequently conducted public awareness in Santo, Vanua Lava, Ambae and Maewo to inform VUI electricity customers of the Authority’s new tariff determination. The Authority thanks those who had attended the awareness and feedback received.

Positive remarks were received in Santo which included Father Isaac Savi from the Sarakata Anglican Church in Santo who said “I accept and am happy to pay the increase in electricity price because I now know that I am helping those in Vanua Lava, Ambae and Maewo to pay a lower electricity price.”

TORBA’s Provincial Government Secretary General (SG), Mr. Reynold Surmat, expressed his gratitude to the Authority for the new tariff that will benefit his people in TORBA. The SG also extended his appreciation to VUI’s customers in Santo for taking on the additional increase in electricity tariff.