The recent public statement issued by the Utility Regulation and Competition Office (URCO) has not answered the central question facing Caymanian families and businesses.
The issue is not whether CUC operates under a valid licence or whether URCO has statutory responsibilities under that licence. Those facts are understood.
The unanswered question is this:
If scheduled CUC base-rate increases were deferred in 2020 and again in 2022 to provide consumers with temporary relief during periods of economic hardship, why was a similar approach not pursued in 2026?
During my tenure as Minister for Commerce, Planning and Infrastructure, I was responsible for advancing the Cayman Islands National Energy Policy. That work included renewable energy, energy efficiency, energy security, modernisation of the electricity sector and wider energy policy reform.
My comments were made from that perspective and with an understanding of the regulatory framework governing the electricity sector. They were also informed by what I see every day: the growing pressure that rising costs place on my constituents and people and small businesses across our Islands.
URCO's response appears to imply that there was no alternative to implementing this year's increase. The historical record shows, however, that scheduled increases have previously been deferred within the existing licensing framework.
In 2020, during the COVID-19 pandemic, a scheduled RCAM base-rate increase was deferred for seven months to ease the financial burden on consumers. In 2022, another scheduled increase was deferred while households and businesses were contending with rising inflation and fuel costs. In both cases, the increases were not cancelled. They were temporarily deferred.
Those precedents show that the issue is not whether the licence should be disregarded. The issue is whether there was scope within the existing framework to seek a temporary delay during a period of significant financial pressure.
Caymanians therefore deserve clear answers to two straightforward questions:
Given the deferrals agreed in 2020 and 2022, was a similar deferral discussed or requested in 2026, and what was the outcome?
When was the Government informed of the proposed increase, and what action did it take to protect consumers?
These are legitimate public-policy questions. While URCO can explain the regulatory process, the questions concerning what the Government knew, considered and did are principally questions for the Government to answer.
Independent regulators play an important role in explaining the regulatory framework and the factual basis for their decisions. Public confidence is best served when that explanation is clear and impartial, while elected representatives remain responsible for political debate and public-policy choices.
This should not become an argument about past or present governments. It should remain focused on the families and businesses that must now find additional money each month to meet their electricity costs.
The Opposition recognises that CUC has rights under its licence and that URCO has statutory responsibilities. We also know that there are documented precedents for providing consumers with temporary relief by deferring scheduled increases.
The question is not whether the rules exist. The question is whether every lawful option to lessen the burden on families and businesses was explored before this increase took effect.
That is the discussion we should be having. I will continue to advocate for transparency, accountability and practical solutions that put Caymanian consumers first.