Opposition: Total collapse imminent at GWI

Nov 26, 2019 News

…PPP affiliated organisations should pay their bills- Van West Charles

The state-owned Guyana Water Inc. (GWI) is facing imminent collapse unless immediate actions are taken.

The Opposition is painting a gloomy picture of the state of the GWI.

Opposition MP, Juan Edghill

Yesterday, former Minister within the Ministry of Finance, Juan Edghill, said that from figures coming out, expenditure at GWI has severely outstripped income, even though monthly revenues have improved from under $200M to $400M and over.
Listing a series of indicators, the former minister blasted GWI for not having a budget in over three years.
“Salaries are paid late every month since mid-2017 and the payroll is split between junior staff and managers. Managers are commonly paid on the penultimate or last day of each month.”
However, Managing Director of GWI, Dr. Richard Van West Charles, in a response, was critical of the Opposition Member of Parliament.
“It seems that Mr Edghill is suffering from amnesia as since June of this year I intervened to assist the PPP office in Linden with the reconnection for late payment. Instead of writing nonsense, he should see that all organisations with which he is affiliated should pay their bills on time.”
The GWI chief released the activities, wells dug and connections extended between 2015 and 2019 when the Coalition entered office, to highlight works of the GWI.
According to Edghill yesterday, figures show that employee levels have now reached 1,100 and climbing. In 2015 the then Board of Directors had frozen employment at 597.
“Small contractors have been removed from providing services and are now left “unemployed”. Payroll has now climbed to approximately $20M monthly. In 2015 prior to the change in administration it was approximately $6M.”
The situation is much worse when it comes to maintenance and spares.
“The stores are completely empty of supplies and spares. The most basic of materials needed for service installations and repairs (saddles, poly fittings, repair bands, etc) are not in stock and have to be borrowed (on credit) from other suppliers. Even ink for printing is in short supply.”
The situation is also deeply worrying when it comes to new connections.
“The waiting list for new service connections, especially on the East Bank, is so long, that the Manager now refuses to collect and process applications as he is unable to install any.”
Seaquest, a product used to sequester the iron and keep it in its soluble state, is being procured by sole sourcing from one man, at a monthly price of over $20M, the Opposition MP said.
“Total outstanding liabilities (to suppliers of goods and services) are now approaching $1B with no plans as to how to liquidate this debt. Reserves are somewhere around $ 400 million or so. A total collapse of the company is imminent.”
GWI is the company that manages and runs the country’s water well and treatment plants.

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