After a preliminary investigation of proposals presented by the electricity and water companies for tariff increases, a source close to the Public Utilities Regulatory Commission (PURC) has disclosed to The Independent that there is likely to be a 150 per cent increase in electric tariffs and a 100 per cent increase for water tariffs.

"During the preliminary investigations of the proposals as presented to the Commission, two key cross-cutting issues emerged strongly; these are market driven and macro-economic factors," the source stated, adding that, at this preliminary stage, it is possible these factors have heavily impacted on the tariff increase that is emerging.

The source explained further: "There is no doubt that the cost of the utility companies is driven by these key factors. For instance, the price of crude oil and the availability of natural gas for generation, as well as the exchange rate factor and the Consumer Price Index would greatly impact on the level of tariffs at the moment."

The PURC, as part of its mandate, received proposals for possible tariff adjustments for electricity and water, and organised stakeholders to give opportunity to key interest groups and consumers to comment on these proposals. The public has been expectant of an increase in tariffs since the middle of the year.