Sark Electricity requests 40p power price increase

Sark Electricity Limited has requested the ability to increase power prices in the island by 40p

Sark's electricity regulator has received a request to increase the price of power in the island.

Price control commissioner Shane Lynch said the island's only commercial power company had asked to increase the price per unit of power from 52p to 92p.

Mr Lynch said he would consult with Sark Electricity Limited (SEL) to understand why it had asked for the increase, which was understood to be for the recovery of "unpaid legal levies".

He said: "SEL is proposing to spend around £1.2m of consumers' money on legal fees to seek to recover around £25-30k of debt."

SEL has declined to comment.

Sark's government voted to compulsory purchase Sark Electricity Limited in June

In October the price of power was halved, after the regulator deemed the price charged by SEL was "neither fair nor reasonable".

It followed a decision by the utility to charge customers a legal levy to pay for the legal bills SEL was incurring due to plans to compulsory purchase the utility.

Many residents said they would not pay the additional levy.

On social media Sark resident Andy Boast congratulated those who had not paid.

"I hope that for those who did, out of fear or a desire not to have their electricity cut, that we can win a case, and you can offset that cost," he wrote.

Where is Chief Pleas with the compulsory purchase?

In 2018 after a stand-off around the price of power Sark's government, Chief Pleas, announced it would buy the utility.

Chief Pleas voted earlier this year to compulsory purchase the firm.

The current infrastructure had been described by independent experts as "dangerous" and "past its design life" and Chief Pleas said it intended to upgrade the grid, and introduce more renewable energy sources.

The shape and structure of a new grid is still being designed by two off-island companies, with the most recent estimate of the cost of the project coming in about £8.6m.

On 31 October, Chief Pleas said the Policy and Finance Committee had applied to the Court of the Seneschal of Sark for the appointment of a valuer under the compulsory purchase legislation.

An update from Chief Pleas on Friday said the court had issued directions for SEL to file representations by 28 November and for the Policy and Finance Committee to respond by 5 December before a hearing on 10 December.

Chief Pleas said it recognised the "significant anxiety and concern" Sark residents were experiencing as a result the issues being faced.

"The priority of Chief Pleas remains to bring SEL's assets into community ownership, ensuring a safe, reliable and affordable electricity supply for the people of Sark," a spokesperson said.