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GPL to increase its revenue through rental of poles
Guyana Power and Light Incorporated (GPL) will soon be increasing its revenue with the rental of its utility poles- possibly across the country- to a local television cable network provider.
GPL’s CEO, Bharat Dindyal
Chief Executive Officer (CEO) of the state-owned power company Bharat Dindyal said that his company is in the process of signing the agreement with Atlantic Cable T.V. Network (ACN) for the rental of poles.
According to Dindyal, initially in a proposal to ACN, GPL had proposed a carrying cost of $5,000 per pole annually. The power company made that estimation based on the rental of about 600 poles.
Dindyal stated that following further negotiations with ACN it was discovered that the company wants to expand its network across the country. As such, GPL will be offering the company a lower carrying fee. This fee was not revealed to Kaieteur News. He noted that the revenue earned will be used for the maintenance of GPL structures.
The agreement to be signed between the two companies will include carrying fees ACN owes for the period which it utilized poles without GPL’s permission. Dindyal noted that following a meeting with the Jagdeo Government, ACN approached GPL but permission was not granted because the company needed relevant documents.
Apparently, it was discovered last year that ACN which has been in operation for 12 years was utilizing GPL poles without consent. Following discussions with GPL, permission was given for the continued utilization of the poles in the interim while the agreement was being crafted. In addition, the relevant mechanism such as the Broadcasting Authority was being put in place.
This is according to Dindyal, who related that ACN- a public company- has to submit licences to show that it has permission to operate in the various areas.
Meanwhile, ACN is disclaiming that it utilized GPL’s poles without permission. According to Mr. Bess of ACN, in January 2011 his company and other cable operators met with former President Bharrat Jagdeo and a directive was given for the companies to approach GPL to start their operations.
He said that authorization was given for the operators to utilize the poles while GPL workout the particulars of the agreement.
Bess said that it is pertinent to note that his company has been in existence for 12 years and is still awaiting permission to use the poles. He pointed out that E- Networks which came into existence after his company and which has already received consent from GPL to use its poles around Georgetown.
Dindyal admitted that this is true and said that E-Networks submitted all the relevant documents and was specific about where it wants to operate. He said that initially ACN wanted to operate from Eccles to Happy Acres and then subsequently wanted to provide cable services across the country. The company is yet to submit its licences for the various areas, hence the hold up, Dindyal assured.
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