Monthly rental cost GWI $2.5M

Mar 19, 2018 News

The Guyana Water Incorporated (GWI), which is before the Public Utility Commission (PUC) asking for rate increases, has been renting private buildings that total $2.5M monthly, inclusive of electricity.
Based on the most recent information received by Kaieteur News, the water utility company paid as much as $600,000 monthly in rent to Lennox Cush in Da Silva Street, Newtown Kitty, Georgetown.
GWI also paid approximately $198,138 monthly for electricity along with rent for the Cush property, which houses the internal audit and water quality department employees.
In the upscale neighbourhood Section K Campbellville, GWI pays a monthly rental of $400,000 to Ameera Kissoon to house staff from the infrastructure planning and implementation department.
Also housed at the Section K location are employees in the Water Supply and Sanitation Infrastructure Improvement Program (WSSIP) which is part of the Inter-Development Bank-funded program for Guyana.
For the property, GWI pays electricity of $97,037.

…this Section K C/ville
building alone costs $500,000

In Georgetown, GWI is also renting from Cheryl Ibbott, Lamaha Gardens to house the Managing Director’s Secretariat, media and communications department, human resources department and the strategic planning evaluation and monitoring unit.
Electricity cost is pegged at $85, 702.
GWI’s Manager, customer services and customer relations staff are housed at Station Street Kitty which the company rents from Ahilya Singh for $60,000 per month.
Outside of Georgetown, GWI pays out a combined $460,000 monthly for rental. The company rents one building each in New Amsterdam, Berbice; Springlands, Correntyne, Berbice; Anna Regina, Essequibo; Onveragt, West Coast Berbice; Bartica, Region 7 (Cuyuni-Mazaruni); and Lethem, Region Nine (Upper Takutu/ Upper Essequibo).
Mr. Jaigopaul Ram, GWI’s Executive Director of Finance has faced several questions during the Public Accounts Committee. He conceded that if GWI collects the monies owed by customers there would be no need for rates increases.
In February, GWI’s Chief Executive Officer (CEO), Dr. Richard Van West Charles, made a case before the PUC for the increases.
GWI is proposing that a fixed charge of $500 be applied to all customers except pensioners. The fixed charges for pensioners will be waived, GWI said.
According to the CEO, the water company has some serious challenges to bringing potable water to customers.
With 180,800 customers, GWI is charged with overseeing 137 well stations and 24 treatment plants, with three more to be constructed.
There are more than 900 staffers with 60-plus contractors and 220,000 Km of transmission and distribution mains.
However, despite investments, GWI claimed to be facing major problems with its energy efficiency, with stability and reliability being major problems.
For domestic customers with meters, GWI is proposing the monthly fix charges of $500 and with standard rates of $112 per m3. For pensioners, GWI wants to waive those fixed charges, but the pensioners have to pay $74 per m3.
For residential unmetered, there is a $500 fixed monthly with a $1,500 monthly charge.
GWI wants unmetered pensioners to pay no monthly fixed charges, but for $740 m3 for fixed charges.
Significantly, GWI is proposing to get tough with tampering with a $50,000 fine for domestic customers and $100,000 for commercial ones.
GWI said that it will need a minimum of three months from time of approval, as it has to make software changes, including automatic billing for VAT and creation of new tariffs for billing.
The PUC has requested all the financial statements from GWI before fully considering the increase.