Home Letters GPL should be breaking even, not racking up losses
Electricity cost in the UK is about 14.5p per kWh (about $36.5 per kWh). While in Guyana it is about $52.5 per kWh. When we take into account the loss due to electricity theft, defective meters and line losses (which account for about 30 per cent), we see that the electricity cost is roughly the same as the commercial losses and is being passed onto consumers in Guyana (70 per cent of $52.5 is about $36.75).
What this means is that GPL should be breaking even and not racking up losses. Clearly, something is wrong in the operation of GPL when it is racking up losses as well as when there are numerous blackouts.
Customers not paying their bills is indicative of them not having huge disposable income which is symptomatic of the Guyana economy not performing well.
Another indication of the Guyana economy not performing well is the rise in the non-performing loans rate.