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PUC approves 10.6% increase in water bills
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Posted: 20/11/2009 - 10:10 AM
Author: Adele Ramos - adelescribe@gmail.com

At a press conference held Wednesday afternoon at its office in Belize City, the Public Utilities Commission (PUC) announced that it had issued an initial decision in the Full Tariff Review Proceedings (for rates spanning 2010-2015) proposing an across-the-board increase of 10.6% in water bills.
  
For example, a $40 bill would increase by less than $5 a month; whereas a $200 bill jumps by $20.
  
The government-owned utility, Belize Water Services Limited (BWSL), in an application made in October, had asked for a 25% increase in tariffs to meet $116 million in investments.
  
PUC chairman, John Avery, told the media that the PUC had decided that an increase of 10.6% would be sufficient for now.
  
Avery said that the PUC did take into account the five comments received during the review process, all objecting to the rate increase, and some going a step further to emphasize that service and efficiency benchmarks are paramount for the PUC to enforce.
  
Prime Minister Dean Barrow had made a public pronouncement at his last press conference in November, that the BWSL should have a rate increase, if even from the point of view of inflation.
  
Additionally, the PUC has included a 10% rate of return, while a move is afoot to eliminate the 12% guaranteed dividends set by statutory instrument.
  
The PUC is also including in this decision a new rate-setting methodology – which Avery told the media would be the first such for the water distribution company.
  
The review process is not closed, and the PUC is still inviting written comments on the initial decision from BWSL and from interested parties by Wednesday, December 2, 2009. If you have any, direct them to the Public Utilities Commission (PUC) at 41 Gabourel Lane, Belize City, or by email to info@puc.bz.
  
If needs be, the PUC will hire an independent expert to review its tariff decision.
  
In objecting to the rate increase, the Citizens Organized for Liberty through Action (COLA) had said, “An increase in these already hard times and [the] high cost of acquiring these needed services will only bring more hardship to our people.”
  
The new rates would take effect next April.


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