From Martin Sayers.
AS a businessman, I am very concerned about the recent electricity price increase of 25 per cent.

The public should be aware that the JEC draws the vast majority of its electricity from the French nuclear grid and that the price of that electricity is pegged at the global oil rate, irrespective of how cheaply the nuclear power is produced.

The unfortunate reality appears to be that the JEC have made a huge mistake and forward-purchased their power when the price of oil was at its peak in the summer at $138 dollars a barrel. The price of oil at present is $39 a barrel – a six-month staggering drop of 72 per cent.

Whereas this drop could not have been foreseen, it has nevertheless happened, and the drop in price, as with other countries, should be passed on to the consumer. The fact that the JEC has made a mistake is not the public’s fault.

We as an Island have a responsibility to keep inflation down. The JEC should forward-purchase oil at the current rate of $39 a barrel and restart La Collette power station and pass on a 20 per cent reduction to the consumer, not the 25 per cent increase which was activated on 1 January 2009.
Havana Club,
Bath Street,
St Helier.