Pay-as-you-go power backed as way to ease bill woes

Opposition leader Kim Swan believes a British-style system where customers feed cards or coins into a meter at their home could ease money troubles for the growing number of islanders who cannot afford electricity.

He spoke after the Bermuda Sun reported last week that more than 1,000 homes had been disconnected so far this year for failing to pay bills.

BELCO said it had looked into pay-as-you-go options but had dismissed the idea because the technology was expensive and becoming outdated.

A spokeswoman added that the company is researching new technology that could see a pre-paid bill option offered to customers in the future.

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Last week the Bermuda Sun told how hundreds of islanders had their lights turned out for failing to pay bills as the recession continues to plague the island.

Mr. Swan said the story highlighted an alarming trend.

He added: “There is a sad human story associated with the report about BELCO disconnecting 1,000 homes this year.

“It is a social commentary about our own Bermudian people, our seniors, our children, single mothers, families all whose circumstances are connected with the order.

“While varying reasons have contributed to persons getting to this point, it is an unfortunate reflection of this time we are living where the ability to earn money has been drastically diminished and this economic low tide is revealing what is beneath the surface for too many families.

“I am aware and appreciative that BELCO have been working with customers and, to their credit, they also do a great deal within the community but they are a profit-orientated company. While our people must get our priorities in order, the reality is that there are too many Bermudian families out there with more bills than money to pay them, and that is a common complaint.

“The question is often asked, ‘What is the solution?’ One worth considering is pay-as-you-go energy, also referred to as pre-paid, currently used in the UK by British Gas.”

The system helps people keep better tabs on their energy use.

Mr. Swan said: “Such a programme by BELCO or a private partner for Bermuda would help persons at the lower and medium income levels — many living from hand to mouth — to better cope with the escalating cost of living and the rising energy cost.

 “From a sociological standpoint it may also help to help shift the mindset of our people by encouraging Bermudians to better prioritize spending habits and focus on their needs first.”

BELCO said pay-as-you-go could be an option in the future but is not workable right now.

A spokeswoman said: “The current technology used in the UK is being phased out and would be expensive to install for BELCO’s small number of customers.

“BELCO is exploring an alternative, more advanced, technology with a view to implementing it within the next three to five years.