GWI seeking to increase water rates

…to engage PUC
…despite 12% increase in revenue collection

Managing Director of the Guyana Water Inc. (GWI), Dr. Richard Van West-Charles, has said that the utility company is preparing to engage the Public Utilities Commission (PUC) to propose an increase in tariffs. This is being done despite the company reporting a 12 per cent increase in rates collection for 2017.
GWI’s Executive Director for Commercial Services and Customer Relations, Marlon Daniels, told reporters at the utility company’s year-end press conference that revenue collection has increased from $3.4 billion in 2016 to $3.6 billion in 2017, although the books have not yet been closed.
He noted that the increase is mainly due to efforts employed by the regional officers and the improved customer-centric approach by the GWI.
“The 12 percent increase is strictly due to the efforts of the regional team, and they have surpassed last year’s collection in a very realistic way. I would add that the effort of the website and app to increase our meter-reading efficiency and to make available to customers the billing information would seek to increase our collection in a meaningful way,” Daniels said.
GWI Managing Director Dr. Richard Van West-Charles said the company is preparing to engage the Public Utilities Commission with hopes of increasing its tariffs. However, he noted that the increase would take into account the different groups of Guyanese. He explained that pensioners would be dealt with separately.
“I think it is safe to say that our service has improved significantly. The quality of water has improved significantly, hence the timing is right for us to revisit the tariff; and hence it is for you to know that we have started to engage the PUC in this manner,” he said.
Van West Charles said most utility companies across the globe get subventions from their government for the maintenance of infrastructure, but that this is not the case with GWI. He explained that Government’s subvention to the GWI is to cover its electricity costs and for projects in the hinterland; but the maintenance of the hinterland infrastructure is GWI’s expense.
He added that it is against that backdrop that the GWI is seeking to increase its tariffs, so as to ensure the integrity of its infrastructure is maintained.
“We now have to get to the point where we know if we are going to sustain the supply and sustain the good quality we have to have the requisite resources to be able to ensure that the spares are in place, that some maintenance programme is in place to maintain that infrastructure. So we are preparing to make a submission. The Board has seen the submission, the Board has approved the submission, so we are now approaching the PUC,” Van West-Charles added.
Back in 2013, the PUC had granted the GWI permission to increase its tariff, but it was never followed through.