Gov’t justifies GPL’s move to increase electricity tariff by 26.7% – 10th Jun 2013
GPL hinted some weeks ago that since its subsidy was slashed by 5.2 billion dollars from the 2013 National Budget it would need an increase in tariffs to sustain operations.
Some customers believe the company needs to get its act together before imposing any additional burden on their pockets.
GPL in a statement to the press said it as a result of funding denied to them, it has no other option but to move in the direction to raise revenue in an effort to remain financially viable.
But today Alliance For Change leader Khemraj Ramjattan said the AFC is demanding that the PUC investigate fully GPL’s call for this rate hike and hear other stakeholders interested in the matter before it orders or ratifies any increases by GPL.
Ramjattan is also demanding that the entire Board be replaced with competent and independent professionals.
Meanwhile, the government has rolled out its top finance personnel to justify the move by the utility company.
The Government said that the move to cut the budget of GPL was irrational and reckless.
Both the opposition parties the APNU and the AFC have been calling for a probe into the daily operations of GPL. The parties are of the view that the Government has no solution in sight in the context of its statutory duty to provide electricity at an affordable cost.