Standards of Service for The Barbados Light & Power Company Ltd (BLPC) 2023 – 2025

• Jurisdiction: Barbados
• Court: Fair Trading Commission (Barbados)
• Judgment Date: 21 December 2022
• Docket Number: Document No.: FTCUR/DECSOS/BLPC/2022-12

Standards of Service For The Barbados Light & Power Company Limited (BLPC) 2023 – 2025

Document No.: FTCUR/DECSOS/BLPC/2022-12

FAIR TRADING COMMISSION

DECISION

TABLE OF CONTENTS

SECTION 1 EXECUTIVE SUMMARY	4
SECTION 2 INTRODUCTION	8
2.1 Background	8
2.2 legislative framework	9
2.2.1 The Commission's Authority to Establish Standards of Service	9
2.2.2 Requirement to Consult	10
2.2.3 Requirement to have hearings	11
2.2.4 Non-compliance with Standards of Service	12
2.3 Hearing Process	13
SECTION 3 ELECTRICITY SECTOR	15
SECTION 4 THE DETERMINATION	17
4.1 Guaranteed Standards of Service for BLPC	18
4.2 Guaranteed Standards: Definitions & Specific Exemptions	21
4.3 Overall Standards of Service for BLPC	28
4.4 Overall Standards: Definitions & Specific Exemptions	29
4.5 Reliability Indicators	33
SECTION 5 GENERAL EXEMPTIONS	36
5.1 Other Exemptions and Conditions	37
SECTION 6 REASONS FOR DECISION	39
6.0 General	39
6.1 Amendments to the Standards of Service	40
SECTION 7 ADMINISTRATION	49
7.1 Monitoring & Enforcement of Standards of Service	49
7.2 Public Education & Disclosure of Information	50
7.3 Implementation and Review	50

SECTION 1 – EXECUTIVE SUMMARY

1 On February 24, 2021, the Fair Trading Commission (the “Commission”) commenced the review of the Standards of Service for the Barbados Light & Power Company Limited (the “BLPC”) Decision 2018 – 2020, per Section 4(3) of the Fair Trading Commission Act, CAP. 326B of the Laws of Barbados (the “FTCA”) and Sections 3(1) and 4 of the Utilities Regulation Act, CAP. 282 of the Laws of Barbados (the “URA”).

2 On May 25, 2021, the Commission published a Consultation Paper 1 for a public consultation process ending on June 22, 2021. The purpose of the consultation was to receive comments from stakeholders 2 on proposed amendments to the Commission's 2018–2020 Standards of Service Decision, which was extended to remain in effect until June 30, 2022. There was one submission from BLPC in response to the Consultation Paper.

3 On May 26, 2022, the Commission issued proposed Standards of Service 3 based on the submissions received in response to the aforementioned consultation. On June 8, 2022, the Commission commenced a written hearing on these proposed standards. There were two (2) submissions during the written hearing; one from the Barbados Renewable Energy Association (BREA) and the other from BLPC. In this regard, the Decision herein applies to the BLPC Standards of Service 2023–2025.

4 The Commission holds the view that Standards of Service are an essential tool in ensuring that BLPC provides a safe, efficient and reliable service to its customers and that periodic review and appropriate amendments can facilitate improved performance.

5 Having completed the review process, and analysed the two submissions in response to the Commission's proposed Standards of Service, the Commission has determined that the Standards of Service shall be amended as follows:

Guaranteed Standards of Service

6 GES 2: Fault Repair — Distribution System

• • The updated ‘Description’ clarifies that the ‘fault’ captured under this standard includes those “on any part of the network that manifests itself on the distribution system (multiple customers)”.

• • Automatic compensation is to be issued to customers who experience a service interruption which exceeds the stipulated target response time of eight (8) hours. Specific exemptions apply.

• • GES 5: Provision of Complex Connection — Cost Estimates

  • — The target for the Provision of Complex Connection — Cost Estimates is to be within twenty-five (25) working days of the submission of the minimum information required to provide the estimate. Specific exemptions apply.

  • — The mode of compensation is to be automatic for affected customers.

7 GES 7: Reconnection

• — The updated ‘Target’ stipulates that “Customers with AMI meters should be reconnected within two (2) working hours of verification of payment. Other customers should be reconnected within six (6) working hours of verification of payment.” Specific exemption applies.

• — The mode of compensation is to be automatic for affected customers.

8 GES 8(a): Response to Billing Complaint Where Site Visit is Required

— The updated ‘Target’ shall be where a service visit is required, BLPC is required to provide an assessment and resolution within eight (8) working days of receipt of complaint. Specific exemption applies.

Overall Standards of Service

9 OES 1 – Meter Reading

• — Description' updated to “Frequency and Accuracy of meter reading”

• — Target a) states that 100% of Domestic/General Service customers' AMI meters to be read monthly; Domestic/General Service customers with non-AMI meters, shall have their meters accurately read every two months.

• — Target b) 100% of Secondary Voltage Power and Large Power customers' meters to be read monthly.

• — Target c) states that 100% of AMI meter readings to be verified monthly for all customer classes, ensuring that ALL meter readings reflect accurate customer consumption.

• — Specific exemption applies.

10 OES 6 – Billing Period

— 100% of customers with AMI meters shall be invoiced for no more than thirty-one (31) calendar days in a billing period. Non-AMI customers shall be invoiced for no more than thirty-three (33) calendar days in a billing period. Specific exemptions apply.

11 New Standard: OES 8 – Issuance of Technician's Inspection Receipt

— BLPC shall issue a Technician Inspection Receipt (TIR) to each customer in 100% of inspections at customers' premises.

System Reliability Indicators

12 The targets for reliability indices shall be:

• (a) System Average Interruption Duration Index (SAIDI) – 3.68 hours/customer/year;

• (b) System Average Interruption Frequency Index (SAIFI) – 5.84 outages/customer/year

• (c) Customer Average Interruption Duration Index (CAIDI) – 0.63

• (d) Average System Availability Index (ASAI) (New) – 99.958%

General Administration

13 BLPC shall comply with the following:

14 Disseminate fault reporting and damage claim procedures to customers;

• (a) Issue a tracking number to each customer reporting fault;

• (b) Publicise the Standards of Service and Claim form via its website;

• (c) Advertise the Standards of Service in the media once every six months; and

• (d) Include the web link to the aforementioned information on customers' utility bills.

15 All other Standards of Service not mentioned shall remain the same as that of the Standards of Service Decision 2018 – 2020.

16 The Standards of Service for BLPC shall come into effect on January 1, 2023 for a period of three (3) years. Note however, the Commission reserves the right to (i) review these standards before the end of this period, and (ii) extend its Decision for two additional years (up to 2027), if deemed necessary. Thereafter, the Decision will be subject to review by the Commission, at which time amendments may be made.

SECTION 2 – INTRODUCTION

2.1 Background

17 Market competition influences the quality of service provided by service providers. However, in the absence of competition, as with BLPC, regulatory agencies like the Commission must set and monitor the minimum levels of service provided to customers. The Standards of Service gives practical effect to this oversight requirement.

18 Ultimately, the timely and efficient review of the Standards of Service ensures that the quality of service and the service categories are appropriate and effective in achieving its intended objective of continuous improvement.

19 The purpose of this Standards of Service programme is to: ensure that a minimum quality of service is maintained; provide motivation for improvement in the quality of service delivered; create conditions for customer satisfaction; monitor service quality, and generally protect the interests of consumers of electricity.

20 There are two (2) Standards of Service categories: Guaranteed Standards of Service and Overall Standards of Service. The Guaranteed Standards of Service describe the minimum service level criteria BLPC must provide to individual customers. The Overall Standards of Service speak to service delivery at the national level. Where BLPC breaches the Guaranteed Standards of Service, the affected customer is entitled to compensation, by credit, as prescribed under each service category. Violations of Overall Standards of Service does not attract individual compensation; however, the Commission may, at its discretion, impose penalties...