27 Oct 2006

American Samoa's Senate questions high electricity rates

10:42 am on 27 October 2006

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

In a letter, the Senate President, Lolo 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 oil prices have fallen 20 dollars a barrel in the past three months yet the power company is still selling electricity at the rate set when fuel was most expensive.