The Guyana Water Inc is operating at a loss and the distribution system in Georgetown will be overhauled, Minister of Finance Winston Jordan says.
In his Budget 2015 presentation, Jordan told the National Assembly that a quick analysis of the state of GWI has shown that the agency is operating well below break-even – indeed at an operating loss. He said that the economic costs of production of potable water surpass the current tariff, with electricity cost and non-revenue water being key factors affecting financial viability.
“To this end, the Government will ensure that improvement and efficiency related to reducing losses in the production and distribution of potable water is at the top of the list. The entire reticulation system of the City of Georgetown, along with substantial overhaul of the Shelter Belt facility, will commence shortly,” he said.
“Within the next few months, new treatment plants will be constructed to supplement our existing production capacity. In like manner, focused attention will be placed on addressing the gaps in potable water availability in the far-flung reaches of our deep hinterland neighbourhoods, since, in many instances, the intensive activities associated with river mining and logging pollute the rivers and creeks,” the minister told the House.
For this year, he said, government will invest $2.9 billion to ensure increased coverage of an improved quality of water supply. In this regard, $422 million is provided for the completion of wells at Goed Fortuin, Hope and Cotton Tree, while drilling and interconnection works for new wells at Port Mourant, and Wakenaam will commence this year.
A sum of $950 million has been allocated to construct more wells, install ground storage tanks, install transmission mains and water meters at Uitvlugt, Diamond and Sheet Anchor. In addition, the extension of distribution transmission mains will be done in areas such as Hope Housing Scheme, Stanleytown, Williams-burg, Kildonan and No. 59, 66 and 69 Villages. Under this same provision, rehabilitation works will be done to the Timehri and New Amsterdam Water Treatment Plants.
Jordan told the House that a sum of $592 million has been allocated for Amelia’s Ward and Wisroc interconnection systems, while the upgrading of service connections and metering continues within the same service areas. Further, a sum of $130 million has been allocated to improve the water supply systems in areas such as Koko, Mabaruma, and Port Kaituma in Region 1; and Mahdia, Monkey Mountain, Princeville and Campbelltown in Region 8.
