The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

The deputy prime minister yesterday said no mass disconnections of delinquent Bahamas Power & Light (BPL) and Water & Sewerage Corporation customers are being planned in the near future.

Desmond Bannister, who is also minister of works with responsibility for both utilities, told reporters outside the Cabinet Office: “No, we're not planning any massive disconnections. But I still want to urge every Bahamian who has a financial obligation to those utilities, please go in and make arrangements if you can't pay.

"But if you can pay, please pay. That's the only way the rest of us can continue to have power and continue to have water, and that's absolutely critical.”

The financial viability of both state-owned utilities, which was tenuous before COVID-19, has dramatically worsened since the pandemic erupted. Adrian Gibson, the Water & Sewerage Corporation's, said in October 2020 it faced a "roughly $9m shortfall" in residential customer payments as a result of being directed to cease all disconnection activity since late March 2020 due to the COVID-19 pandemic.

And Mr Bannister himself warned in November 2020 that BPL has a minimum of $90m in accounts receivables owed to it each month by non-paying customers.

The deputy prime minister, turning to the proposed rate increases foreshadowed by Kwasi Thompson, minister of state for finance, said yesterday: “The studies are with the accounting firms that are doing the studies, and as soon as some advice is proffered Cabinet will make determinations as to where we go.

“Right now there are no determinations because we have to have all of the data before us before we make decisions that impact the Bahamian people.”

The timeline for these studies to be completed was not disclosed. However, Mr Bannister assured that the accountants are doing a “thorough job", and he will report to the Bahamian people when their work is completed.

Mr Bannister said the Water & Sewerage Corporation needs significant capital funding for the projects it is undertaking, such as bringing water to Cat Island and the recently-completed water supply connection on Long Island.

He added: “They're the kinds of initiatives, even though we can't do everything we want right now, we are making sure that Bahamians still have a decent standard of living. Those are the kinds of things that are very important that are happening right now.”