Belco's half-year profits have soared by almost $1.5 million to $9,789,242.

The Island's energy supplier has reported a big jump in net income for the first six months of 2007, up from the $8,355,586 it made during the same period last year.

Belco's half-year report also provides a snapshot of new households being created on the Island, with news that electricity is now being supplied to 715 more homes, according to the latest figures.

Residential electricity usage increased 2.8 percent, mainly due to a 2.3 percent rise in the average number of metered connections.

Bermuda Gas & Utility Company also experienced a significant 68.5 percent increase in net earnings for the first half of 2007 at $758,118, up from $450,012 for the same time the previous year.

This was largely down to a 44.7 percent rise in appliance sales attributed to the relocation of its showroom to Church Street allowing easier customer access.

Gas sales were 3.4 percent ahead of last year as a result of increases in both volume and prices, but, in contrast, service and parts sales decreased 2.7 percent.

The company's share price of $22.50 at the end of June as appreciated to the 2006 market price of $38.75, which, after considering the 100 percent stock dividend issued on August 31 last year, would have been $19.38.

Furthermore Belco's results revealed total kilowatt hours sold for the first six months of 2007 were 2.8 percent ahead of last year, while residential customer average consumption was slightly higher than 2006, but less than 2005, as people made the move conserved more energy in response to increased fuel adjustment charges brought about by the high cost of fuel.

Usage by high demand customers rose 3.3 percent compared to the same period last year, as did small commercial usage, by 1.6 percent.

Elsewhere, electric revenue climbed 3.7 percent from the corresponding period in 2006, largely due to a 2.8 percent increase in overall kilowatt hour sales, a 1.5 percent increase in tariff rates granted by the Price Control Commission effective from the start of this year and a rise in fuel adjustment revenue from $21,036,626 in 2006 to $21,160,476 this year.

But the fuel adjustment revenue was offset by an identical increase in fuel cost.

Overall operating expenses for the period were up 2.8 percent above the first half of 2006, much of which was attributed to energy supply and delivery expenses relating to consultancy fees incurred in the drawing up of plans for a future power plant.

Depreciation expenses were similarly higher this year compared to 2006, primarily due to capitalisation of costs of a switchboard and disaster back-up facility in the company's east control room at the end of last year.

Belco president and CEO Garry Madeiros said results were in line with what he expected.

"Overall the company is satisfied with the first six months of 2007," he said.

"Results for the second half of this year are anticipated to be on target with expectations."