Current electricity rates in Linden 10 per cent of cost of production

Jun 21, 2008 News

Subsequent to the protest action in Linden on Thursday, Prime Minister Samuel Hinds issued a statement to suggest that the current tariffs charged for electricity in the locale could only defray some 10 per cent of the cost of providing electricity in Linden.
He added that as petroleum prices continue to rise, it was realised that 2008 budgetary allocation of in excess of $2B would have been exhausted before the end of the year.
Lindeners currently pay $5 for a Kilowatt hour.
He added that earlier in the year there was a meeting in the Prime Minister’s Office with the Chairman and Councillors of the RDC, Councillors of the Interim Management Committee and Members of the Board and Management of the Linden Utility Services Cooperative Society Limited (LUSCSL), where the urgent need for Reform of The Electricity Tariffs in Linden was laid out.
“Prime Minister discussed approaches to Reform with Stakeholders on May 20, 2008 but, on advice, stayed away from a subsequent meeting on June 6 when, as requested, a specific proposal was to be presented. From all reports there had been preparation by some to ensure that no presentation could take place…Prime Minister laid out the proposal on the following day on television in Linden.”
According to the statement issued by Hinds, the prepared proposal indicated that households would continue to receive 100 kWh per month at the existing rate, ($5/kWh for ordinary residents and $O/kWh for bauxite pensioners).
Consumption above 100 kWh will be charged at the GPL domestic rate (which itself is subsidised).
Businesses would continue to receive 300 kWh per month at the existing rate of $12/kWh and the going Guyana Power and Light rate for greater consumption.
A senior source within GPL said that of all of the GPL customers, the majority of them manage on less than 100 kilowatt hours of electricity every month which relates to little or no increases on their bills.
With this in mind, the source termed the increase ‘moderate’ for the 8,000 customers in the Linden area.

AFC condemns tariff increase

The Alliance For Change (AFC) also issued a statement putting on record its position as being against the government’s decision to impose higher tariffs for electricity for residents and businesses in Region Ten.
“The ad hoc and arbitrary manner in which the PPP/C regime is approaching a very sensitive issue that affects the lives of thousands of distressed persons is nothing short of unconscionable.”
It added that when bauxite attracted high export earnings for Guyana, the people of Linden and all Guyanese shared in the prosperity…Now that the fortunes of the bauxite industry are bleak, we expect the government to cut the Lindeners some slack.”
According to the party, years of economic decline of the industry, the resulting high levels of unemployment, the social and economic hardship that is being experienced by the citizens of the mining town, and the inability of LEAP to live up to expectations to bring improvement to the overall quality of life to the Linden community have all had an accumulative effect on the socio-economic fabric of its citizens.
“Under normal circumstances, the people of Linden would not have reacted in this desperate manner over an increase in charges for electricity services…How much more do we expect the people of Linden to take without raising their united voices?
The protest action by Lindeners occurred between 09:00 hrs and 20:30 hrs on Thursday during which the road at Silver City, Wismar, and the Wismar/Mackenzie bridge were blocked.
The relatively incident free protest saw two men arrested by the police and later released on bail. The Lindeners were granted approval by the police for a march but from 15:00hrs and was to commence from three points — the Bayroc Community Centre Ground, the Christianburg Community Centre and the bus shed at Amelia’s Ward — to proceed to the Linden/Georgetown bus park at Republic Avenue, Mackenzie for a meeting commencing at 1800h.
Approval was also given for the use of a noisy instrument during the meeting.
According to the police, the meeting held at the western end of the bridge on the Wismar shore was unlawful and at a point not approved by the police during which there were several speakers including the Regional Chairman Mortimer Mingo and the leader of the PNCR Robert Corbin.