The Consumer Council of Fiji believes that the security deposits levied to customers by the Fiji Electricity Authority should be abolished.

Council CEO Premila Kumar said the security deposit is illogical if the consumers have not defaulted on their payments and claims that it is a double blow from the FEA.

According to Kumar, firstly the electricity bills in most cases have doubled for consumers since the new tariffs came into force, and secondly consumers are getting a letter from the FEA demanding exorbitant security deposits within an unrealistic timeframe.

She said because of its monopoly status, the FEA does not care about its customers and that consumers are disappointed that FEA is capitalizing on the new tariff rate by increasing its security deposits.

However, in a statement, FEA CEO Hasmukh Patel stressed that FEA is required by law to hold an amount for each customer equivalent to two months consumption as security deposit.

Patel said the security deposits have not been reviewed for many years and therefore the FEA is in the process of maintaining the appropriate security deposits and has advised consumers accordingly.

He also stressed that FEA is not forcing its customers for immediate payment nor is it threatening disconnection as being claimed by the Consumer Council.

On the suggestion by the Council that FEA only obtain security deposits from defaulting customers, Patel said the present law does not distinguish between customers and all consumers have to comply with the law.

Patel also denied the claims that FEA bills for consumers have doubled highlighting that some 54,000 domestic customers out of the 130,000 domestic customers have benefitted from the reduced tariff rate of 17.2 cents per unit.
 

Story by: Roneel Lal