26 Oct 2006

American Samoan senate queries high power costs

2:28 pm on 26 October 2006

The American Samoan Senate is demanding an explanation from the American Samoa Power Authority on why electricity rates have not gone down in line with lower fuel costs.

In a letter, the Senate President, Lolo M. Moliga, says the high cost of electricity continues to be a major concern of the Senate.

The Senate leader says the power company had argued that fuel costs determined the electricity price.

He says since July when the oil price peaked at 78 US dollars a barrel there's been a downward slide to 58 dollars.

But to date, the power company is still selling electricity at the same rate which was calculated when the cost of fuel was at its highest.