00:00The role of the Regulated Industries Commission is to hold public utilities to account,
00:06but the RIC reports that it has found itself constrained in its ability to fully execute its intended function.
00:14We have proposed amendments with respect to the types of orders and directives that the Commission can issue,
00:24because it is recognised that currently there are some limitations.
00:32Again, that is something which we have been in discussion with the line ministry on,
00:39so we haven't come to the end of those discussions.
00:44The Ministry of Public Utilities confirms that the required amendments were proposed since 2016,
00:51but have not been affected.
00:54There have been certain, I will put it like this, differences of perspectives among the key players,
01:07and of course there was some time taken to try to work that through.
01:12And so now I think we are at a point where, having looked at the comments of the RIC,
01:18the comments of TNTEC, that we are ready to move forward to the other stakeholders to bring them on board.
01:25In the meantime, the RIC has requested certain information of the Ward and Sewage Authority as it pertains to its operations.
01:34Generally, we would see a number of projects, some of them not fully justified,
01:38some of them we may want to know is that really the true cost, how have you benchmarked it,
01:45what, you know, we may have information as to, that's a different information,
01:51that we may say well this looks a bit high and we want to know how do you justify the increase.
01:57So there are a number of clarifications.
01:59Those clarifications were sent to WASA, as you indicated, in November,
02:04and quite recently we received a letter from WASA saying that they are still looking at them,
02:09and they will respond by April the 4th.
02:12So we are looking forward to getting those responses,
02:17and I would also just say that those responses, I hope they are satisfactory,
02:22but if they are not, we will continue to engage with WASA.
02:26The Commission explains that these queries were raised as part of the rate review process,
02:32the report for which is still before Cabinet.
02:35As the RIC, we try to be as independent as possible from the work of the Ministry, Cabinet,
02:42and all of that type of work.
02:45So it's not something that we follow up on with them to ask them what is happening.
02:50A lot of the information we read in the press as are the members of the public.
02:56So to the best of our knowledge, it is still before Cabinet.
03:00Neither the Commission nor the Ministry of Public Utilities could indicate when the revised rates will take effect,
03:07but with around $2 billion owed to TNTEC by state agencies,
03:12the Commission is calling for action to be taken.
03:16Now we do appreciate that there are essential services, hospitals, schools, police stations, and so on,
03:24and it may be difficult to say disconnect them because of the service that the very public receives,
03:30but it cannot be an open-ended situation, and somebody needs to step up and pay those bills,
03:35because the question is going to be asked whether you've incorporated that debt in considering a rate increase,
03:41and whether the public is being asked to take a rate, will be asked to accept an increased rate
03:48to cover the debt that the government is not paying.
03:51Vanessa Cutting, TV6 News.
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