Sark legal bill of £171k for electricity price war
MORE than £171,000 in legal fees were incurred by the Sark Electricity Price Control Commissioner in the battle with Sark Electricity Ltd, the latest Chief Pleas agenda has revealed.
The dispute first arose after the commissioner reduced the price per unit from 66p to 52p.
However, the owners of Sark Electricity said it would be running at a loss if it charged the lower rate and threatened to turn the lights off.
Matters came to a head last November, when Sark’s Chief Pleas stated it would buy the company. However, no deal has been made yet.
The agenda for the Easter meeting revealed that more than £300,000 was needed to cover legal costs.
‘Legal fees are comprised of the legal costs of £171,184.08, incurred by the Sark Electricity Price Control Commissioner in defending the case of Sark Electricity Limited v Sark EPCC and the out-of-court settlement of £115,000,’ the report states.
‘The role of EPCC is independent of the Chief Pleas of Sark, but under the Electricity Price Control (Sark) Law, 2016, they are liable for any legal costs incurred by EPCC. There is a further £42,000 included in creditors, in respect of invoices received after 31 December 2018.’
The money came under the unforeseen expenses part of the 2018 Sark finance statement.
The Chief Pleas meeting is taking place at the Sark Assembly Room on 1 May.