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URCA targets greater energy sector impact

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

THE Utilities Regulation and Competition Authority (URCA) yesterday said it plans to focus more heavily on the electricity sector this year after failing to impact the sector as hoped.

Stephen Bereaux, the regulator’s chief executive, speaking with Tribune Business at a policymakers forum, said: “We have kind of turned a corner hopefully with mobile competition. We’re happy about that. We, however, have not had - as an organisation - the impact on the electricity sector that we really want to have.

“There are particular challenges, both from a structural perspective and, obviously, legacy issues that have to be addressed. It is very difficult as a regulator coming in new to a sector that has its own issues while you’re trying to make changes to help the sector get on a path to provide better services.

“You’re trying to bring new technologies and approaches into a sector that has operated without your interference for a long time with varying degrees of success.”

Mr Bereaux added: “We are very much planning this year to focus on the electricity sector. We have spent quite a bit of time trying to understand how it works, and trying to understand the rationale and priorities behind those operators and priorities for the government.

“If we are to process and meet government goals for renewables, reliability and for pricing, decisive action has to be taken not only by the sector but by URCA. We have come to the point where that has to be our focus this year.”

Mr Bereaux said it has been two years since URCA took over regulatory responsibility for the electricity sector, and it has taken that amount of time to assemble a team capable of regulating the sector.

He added that URCA is also revving its consumer protection process “both through the regulations and how we resource ourselves as an organisation to provide an effective recourse for people who are aggrieved.

“Competition still leaves people out. It’s never perfect,” Mr Bereaux said. “There are always going to be people who are aggrieved, and we do have cases where we have found that our processes have to be improved.

“We have found we are not as responsive in some cases or we just don’t know. The country still has a culture of not complaining to the people who need to hear the complaint. We grapple with that on a daily basis.”

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