BVIEC Has Not Produced Audited Accounts Since 2021

The BVI Electricity Corporation (BVIEC) has not completed an audited financial statement since 2021, General Manager Dr. Neil Smith disclosed during a press conference on August 25.

“The latest year is 2021,” Smith confirmed when questioned about the Corporation’s audited accounts, acknowledging that BVIEC is nearly five years behind.

Smith said the Corporation has been working to correct the problem, including installing a new system that connects its work orders, purchasing and other financial operations.

“What we have done is install the new enterprise system that links everything together. It links work orders, purchasing, everything together,” he explained.

He said responsibility for the backlog rests with both BVIEC and the external auditing firms.

“Some of the fault is also the auditing companies not auditing as fast as they should. So, I think both of us are at fault, but we are addressing that problem,” Smith said.

“We have been addressing it over the last year, and that should be fixed soon.”

Smith stressed that he was aware of the seriousness of the delay and had initiated efforts to bring the Corporation’s audits up to date.

“I am very cognisant of that,” he said. “I am the one who actually raised the matter and engaged the efforts to ensure that it is done properly.”

The disclosure comes shortly after the House of Assembly approved an amendment to the Statutory Rates, Fees and Charges Act, allowing BVIEC to raise electricity rates to 'larger consumers'.

Government members described the measure as a financial lifeline for the Corporation, while Opposition members warned that large businesses would pass the additional costs to consumers through higher prices for goods and services.

Gov't Not Uncontrolled Creditor

Smith also rejected suggestions that BVIEC receives funding from the Government without proper oversight, declaring that the Government is “not an uncontrolled creditor” to the Corporation.

“Any time they transfer funds to us, it is a long, laborious process that we have to go through,” he said. “We have to prove certain things, they have to be comfortable, and then decisions have to be made at the Cabinet level.”

Smith described BVIEC as “one of the most sophisticated statutory bodies” in the Territory and insisted that it remains accountable to the public.

His comments also come amid public outrage over unusually high August electricity bills. BVIEC said the bills reflected electricity consumed in July, when its fuel costs and net fuel surcharge reached record levels.