The Independent Regulatory Commission (IRC) is presently holding a consultation on the Notices for Rule Making (NPRM) for Weighted Average Cost of Capital (WACC), and Notices for Rule Making (NPRM) for DOMLEC’s Investment Plans at the Fort Young Hotel.
These NPRMs are part of DOMLEC’s impending Tariff Review for the next three years.
The IRC issued two new licenses, a generation License and a Transmission Distribution and Supply License to DOMLEC, both which became effective on January 1, 2014.
These two Licenses complete the process for aligning the regular framework for DOMLEC with the principles and intent of the Electricity Supply Act 10 of 2006 and established a regime of separate licensing for each of the business sectors of public electricity supply undertakings- generation, transmission distribution and supply.
Executive Director of IRC, Lancelot McCaskey, who was addressing the opening ceremony of the consultation, said DOMLEC shall within seven days of the commencement date (of the new license) submit a timetable for the filing of an application to the commission for a tariff review.
McCasey said the date for such filing shall not be later than nine months after the commencement date.
“The application for a tariff review shall be in the format set out in the Commission’s decision document, tariff regime,” he explained. “The tariff review should be conducted in accordance to the process set out in that decision. DOMLEC should have filed for a review of its tariff by the end of September 2014, but because general election was in the air, the commission decided to defer the application date to May 1st 2015 after consultation with both DOMLEC and the government of Dominica.”
He added, “In the interim DOMLEC and the IRC decided since the time given in the Electricity Supply Act for the processing of an application for a tariff review was a mere 60 days, we will try to get the contentious issues relating to tariff making…and so we started looking at the depreciation policy for DOMLEC.”
He stated further that DOMLEC’s most recent Integrated Resource Plan (IRP) and it’s five year investment plan will be discussed at the consultation.
McCaskey said the documents outline DOMLEC’s investments plan for 20 years from 2014 to 2033 and five years from 2014 to 2018.