Profits up at the JEC
Tuesday 21st December 2010, 3:00PM GMT.
JEC chief executive Chris Ambler
THE Jersey Electricity Company managed to increase its annual profits by over £5 million in the last financial year.
The group’s pre-tax profits for 2009/10 were released last week and rose to £14.6 million in the 12 months to the end of September, up from £9.3 million in the previous year.
The States owns 62 per cent of the group which posted the profits increase despite cutting electricity prices last January by five per cent. The company has also frozen electricity prices until the end of next year.
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Not really that surprising considering the recent price hike.
A suggestion for Mr Amber. As a gesture of gratitude toward the captive market of users ( There is only supplier after all! ) , why doesn’t he all give us a bit off this quarters bill?
After all they have already stated huge peak demands during the continuing cold snap, which obviously will increase profits further.
Most of us will not be getting much if any of a pay rise again this year, and a little help would not go amiss and be greatly appreciated.
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How come my bills always seem to go up regardless of the price cuts?
Oh well another huge dividend to the states so they can squander more, appoint more consultants etc, or maybe they will use this to offset some of the black hole – yeah right!!!
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Yep you can’t beat a monopoly for assuring a consistant year on year increase in profits, especially when the price of electricity goes up way above the cost of living. Now watch Jersey Gas profits soar following their 15% price hike, slap bang in the middle of the coldest December for 100 years, you gotta hand it to them ( the cash that is )
We need a utilities watchdog, Offcom, offwat or Offyerarse you greedy buggers.
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Wow, £14.6m profit. If the States figures of around 92,000 population in Jersey are correct that,s a whopping £9.2 billion per capita profit based on UK having 630x more people. Its absolutely disgraceful, we need competition in both the Electricity and Gas markets! I,m just fed up of being ripped of by cartels / solus operators in Jersey!
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So private individuals with shares will be doing rather nicely on their dividends I would expect. Not bad out of a public utility.
Maybe since times are hard prices should come down a bit? People are suffering financial hardship what with GST and all that.
I seem to remember prices rose 19.5% or thereabouts around 4 years ago then soon after that rose by another 24% before coming down by 5%. I still make that 40% up in less than 5 years.
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mistershifter I would be looking to outsource and to cut out the middleman myself. Why pay extra when you don’t need to?
Yes it would be great to have an alternative supplier. I would be very interested in swoping over to save some money. I am fed up having no option but to pay these prices.
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Actually boasting about the profits they have made is as good as rubbing our noses in it.
how arrogant of them.
This is the real reason they are converting all states flats and houses to electricity——-more profits for them!
Telling the tenants they HAVE to have electric heating beggars belief when they all preferred oil or gas is typical of a govt,who do not care for the tenants views or wants,but for the profits they make.
Greed raises it’s ugly head again!
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The majority and controlling shareholder is the States of Jersey.
The company has a share holding structure that gives most of the votes to the States. If this was changed and JE became a normal private company then a bid from EDF, its supplier would be inevitable and successful.
Competition in a market with a few tens of thousands of customers for a utilty seems like a bit of a dead duck to me.
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Lets face it, you lot would be complaining just as much if they had made a £5m loss.
Even public utility companies need to make a profit, that way they can invest in future developments and upgrades.
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government owned therefore a tax hike.
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No 6 Adrian. Well my Father moved to the UK from here to retire. There he has the choice of many companies. They have greed to share use of the infrastructure. Therefore he can choose a company that best suits his requirements.
No reason why it shouldn’t happen here. We are connected to France and Guernsey, so why not open up the market?
Whats that you say? The States own 62% . . . Ah so they gain on the profits, will gain further when GST goes up . . beginning to smell like a rat to me!
I wonder if the ‘ Owners / Shareholders ‘ of the JEC are metaphorically speaking based on the Island? If not then they would fall into the zero / ten bracket and as being non-domiciled will pay no Tax!
Think I should become an advisor for the States . . . ? !
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I used to pay electricity costs between £65 and £80 per month in Scotland back in 2002 (I used oil for heating). Today in Jersey (this time no double glazing and still using oil), I average £50 in the summer £65 pm in the winter. I’m not compaining, its the oil that is a joke !
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The States own 61%
We have big increases to pay for investment in infrastructure said the JEC.
Look at all the new office blocks at the waterfront, and developments like Goose Green Marsh, is that not an increase in business ?
Still need increases, silence from the States Chamber.
Who owns the other 29% of shares in this cash cow monopoly ?
It’s a secret,
Why ?
Davey West
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Davey no.13
Increase in business almost certainly means more infrastructure needed – it’s not difficult to work out!
You say “who owns the other 29%?” well its 39% actually it’s not that difficult to work out!
The other shareholders aren’t a secret because its a public company listed on the London Stock Exchange! Look up JEL and you’ll find out or why not go the the JEC web site. It’s not difficult to work out!
Sorry for the sarcasm but why did you waste your time?
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A substantial % rebate to all users would seem perfectly in order as hay have a captive audience….or will the bonuses be the preferred choice…?
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Thank you for correcting the maths Mr Wilson Riou,
Of course you are correct the figure is in fact 39%. As you are also aware it is perfectly legal to hold shares in a company listed on the London stock exchange.
During 2010 the A shares for the JEC went from a value of £6,750.00 and increased to £7,250.00 pounds each.No doubt the dividend will be good.
The question I am asking is and no doubt with your deep knowledge you can help, how does the public of an island like Jersey find out who owns the shares in a utility that has a monopoly ?
Please supply a link to the register of shareholders names, as you say its not a secret so it should not be a problem. Below is my attempt to find out who the shareholders are.
Quote
All communications relating to all shareholdings should be directed to the above company using the contact information given. You can also view your holdings at the Registrar’s website www-uk.computershare.com. Please use your shareholder number when accessing the Channel Islands section of the website.
To continue we need to identify you and perform a security check.
Davey West
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Davey West you are quite right to question who owns the remainder of the shares at the JEC. And subsequently who gets a share of the profit.
Why are all new buildings made to have electric under floor heating? Planning.. yup Freddie keeps poping up again…
There are numerous ex states members on all utility company boards including the JEC. So they will share the profit.
Good scam if you can get in on it that is.
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“During 2010 the A shares for the JEC went from a value of £6,750.00 and increased to £7,250.00 pounds each.No doubt the dividend will be good.”
The shares actually traded between £67.50 and £72.50. It is a very thin market with not a lot of shares dealt. Simply put they are hard to buy or sell.
The dividend is about £2 per share per year or about 2.8% but it has good cover and is likely to be paid out or even increased.
Historically the shares have offered a reliable income with not much chance of capital gains.
Dull and reliable, a perpetual gilt without capital risk in all but name.
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Enough to make one turn to GAS!
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@17 Davey West……think you have your decimal in the wrong place ‘A’ Shares are £72.50.
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How much were the shares originally, £1, £10, or £100?
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Probably pennies.
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Fifteen Million profit and an old man sits in front of the oven door afraid to put on heating…..who cares………..?
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As many readers would have fathomed I am asking if any States members own shares in the JEC.It is not as though many of our politicians cannot afford a local share portfolio.This is about accountability.
Given that gas and other heating systems are being ripped out of old and specified for new states properties even though it is not the cheapest fuel, one has a right to ask what is going on.
As Mr Wilson Riou @15 repremands me and goes on to say, ” The other shareholders aren’t a secret because its a public company listed on the London Stock Exchange!”
Come then Mr Riou provide proof that the names of JEC share holders are not a secret, hidden from the eyes of Jersey residents who have suffered a 17% increase in 2010 supported by the States and now posting large profits in a recession.
Dare you,
Davey West.
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I dont think it really matters who holds the other shares, the States have over 86% of the voting rights which I think means they can do whatever they like!!!
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Hi Everyone
When was the last time you had a serious power cut then ???
Keep up the good work JEC
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local boy I think you should be thanking the French nuclear industry for that. The JEC is basically a conduit for it.
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To really understand if a company is making excessive proifits, one really needs to study the annual accounts.
If you dont like paying for electricty, then generate your own ! I have met people who have had to run their own power plants, and it is a very expensive operation. On a smaller scale, residents of Sark and Alderney pay a far higher rate per unit.
We run gas in our house and it is very costly. With the cable links to France, Electricity is teh best option for many people.
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Yet another example of the corrupt perverse way this greedy money making Island screws a captive population.
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re Adrian @ 28
i agree that the french seem to do a good job supplying the island as the power does not all go off like in the good old days!
but i’m also sure there must be a huge amount of work that go’s on in the island not by the french to keep the lights on
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zoro(24) you are right .
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