started · updated
Puerto Rico implements record electric rates amid grid instability
A record electric rate went into effect in Puerto Rico as the territory continues to struggle with a crumbling power grid and persistent outages. The Puerto Rico Energy Bureau approved the increase, which is expected to impact the cost of living for the island's 3.2 million residents, more than 40% of whom live in poverty.
For a residential customer consuming 800 kilowatt-hours per month, monthly bills are projected to rise by approximately 18%, increasing from $229 to $271. The new rate of 33.86 cents per kWh is significantly higher than the U.S. mainland average of 18.3 cents per kWh, according to the U.S. Energy Information Administration.
Luma Energy, the company responsible for power transmission and distribution, stated that the rate hike is necessary to cover rising costs rather than to generate additional revenue. The company cited high summer temperatures, increased energy consumption, rising global oil prices due to conflicts in the Middle East, and the necessity of using more expensive fuel when power plants underperform as primary drivers of the cost increase.
The rate hike follows a period of instability for the grid, which has faced challenges since Hurricane Maria in 2017. Recently, a substation fire left over 200,000 customers without power.
Entities
LUMA Energy · Puerto Rico · Puerto Rico Energy Bureau · U.S. Energy Information Administration
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 3 SOURCES] A residential customer using 800 kWh per month will see their bill rise 18%, from $229 to $271. www.whec.com · www.winnipegfreepress.com · www.independent.co.uk
- [● 3 SOURCES] The new rate of 33.86 cents per kWh is significantly higher than the U.S. mainland residential average of 18.3 cents per kWh. www.whec.com · www.winnipegfreepress.com · www.independent.co.uk
- [● 3 SOURCES] The Energy Bureau approved a record electric rate increase in Puerto Rico. www.whec.com · www.winnipegfreepress.com · www.independent.co.uk
- [● 2 SOURCES] Luma Energy attributed rising costs to high summer temperatures, rising global oil prices from Middle East conflicts, and the use of more expensive fuel. www.whec.com · www.independent.co.uk
- [● 2 SOURCES] The Energy Bureau approved a 5.28 cents per kWh increase to mitigate the financial burden on customers. www.whec.com · www.independent.co.uk
- [● 3 SOURCES] A residential customer using 800 kWh per month will see their bill rise by approximately 18%, from $229 to $271. www.whec.com · www.winnipegfreepress.com · www.independent.co.uk
- [● 2 SOURCES] The Energy Bureau approved a 5.28 cent per kWh increase to mitigate the financial burden on customers. www.whec.com · www.independent.co.uk