Commercial customers may soon be paying higher water bills as the Barbados Water Authority (BWA) seeks to correct what it considers a longstanding anomaly in its rates in an ongoing economy drive, the Minister for the state-owned utility announced this evening.
As he introduced the Utility (Amendment) Bill in the House of Assembly, Minister of Water Resources Wilfred Abrahams declared: “We have had an anomalous situation where commercial water usage rates were lower than that for domestic water rates, which has caused a number of issues with the BWA.”
Commercial customers are to pay $4.66 per cubic metre if they use below 40 cubic metres a month, as is the case with domestic consumers, but the rate will increase to $7.78 per cubic metre if they use between 40 cubic metres and 12,000 cubic metres per month; for those who use more than 12,000 metres, the rate will revert to $4.66 per cubic metre, he said.
“We are hoping that this rate change will remind people that water has a cost and if the commercial sector is seeking to save money, they will use it more wisely,” Abrahams, the MP for Christ Church East, told the House.
He declared that the Garbage and Sewerage Contribution (GSC) that was tacked on to water bills late last year did not provide much revenue for the BWA, so it had to find other methods to help finance its operations.
“The BWA only retains 25 cents of this levy, and it is specifically for the maintenance of the sewerage network, so we still have to find the money to deliver a safe and efficient supply of water.”
At present, the Provisional Collection of Taxes Act only applies to taxes collected by central Government, which means it does not cover revenues collected by statutory bodies like the BWA, the Minister said.
But as the Fair Trading Commission (FTC) remains the watchdog for BWA rates and service levels, Abrahams stressed there was no plan for the BWA to break away from that regulator.
“The BWA is subject to the Utilities Act, and the exisiting Fair Trading Commission legislation states that a service provider may apply for part of the utility service to be exempted from an aspect of the Act. So the Minister has the discretion to exercise or award an exemption where he is satisfied that the market is competitive.
“However, the BWA is a monopoly so there is no way for us to establish competitiveness, so Minister could not use discretion for water rates to go up.
“When circumstances allow us to apply for a rate hearing we will do it, but we believe this rate will be accepted by the FTC. If people have issues with the BWA they can still speak to the FTC, because it is still under their watch.
“We are merely correcting an anomaly in the existing legislation, and we are hoping that the BWA’s revenues will increase as a result of this.”
Speaking further on the controversial GSC, Abrahams said: “We are looking at a cap for the GSC for commercial enterprises which use a lot of water.
“For example, a hotel can charge back for the water it uses, but for those entities that may not be able to install water saving devices like laundries and farms, we can put the cap in place.”
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Wow now poor people gine feel de pinch, BLP giving wunna Vaseline laced with pepper!
Business rates to rise…yuh know in most cases,those costs are passed on to the public.hmmmm.will keep in my little corner as usual and smile.
Please give the people some buses so they can at least get to work to make the money to pay theses same businesses their extra money they will charge us for their services when the water rates goes up.
I am not living in Barbados as yet ,but plan on return this year,…….I did say couple weeks ago when the BWA , made a statement about sending out bills , look out they are going to make price rises………
Well u no f u raise buieneses water we that dealing with that same buieness got to pay that water bill u no dat right ? man wunna just squeezing every cent out d poor ppl den
Man do wa wunna feel like hey man cause wunna just became the worce goverment of all time bar none
Wow . Wunna aint see nothing yet , this is only the smoke more and more hardship coming
BEES NOW
BEES AGAIN
LOL
Blp why is it that the poor has to feel the licks when the rich NSRL free?
So true Lennox Hewitt
All these people doing is trying to kill people with taxation all the time. Raising commercial water rates again will only kill the consumer because it will be passed on.
Why is it every time I see barbarian have to
pay more for something.. Like really and people salaries remain the same..OMG this is so not fair
mek muh laugh some more. the imf tell you to say that the taxes on water ain’t bringing in enough money.
Hi,BARBADIAN SETTLED FOR ANY THING, SWEET BARBADOS.
Lord I don’t know hear what more can we take so stop eating and pay these mf bill
This Government knows that this will be pass on to the customer?Our water bills are high already.
Wunna people that complaining can’t see that this is that CROOKED DEMOCRATIC LABOR PARTY doings.
DLP then… DLP NEVER AGAIN…DLP OUT..KEEP DEM OUT.
To be granted an increase in the rate of any utility the company first has to satisfy the fair trading commission that the service being provided is efficient. Barbados light and power always tries its best to maintain proper service to satisfy the Fair Trading Commission. They even claimed at one time that a monkey was responsible for an outage so as not to be held responsible for that outage, all in an effort to satisfy the FTC.
The Barbados water Authority has provided terrible service to this island with constant outages in many parishes. How can this minister be so sure that the FTC will grant this increase?
Am I reading correctly? The millions of dollars of that unfair GARBAGE AND SEWERAGE TAX collected is not enough money for the BWA?
Instead of reducing costs and waste …..we increase taxes … here we go again
I thought that was what you all castigated Chris Sinckler for. Now its o.k for the saviours of Barbados. When are the poor people going to get a raise of pay. As long as taxes are raised, the poor man is going to foot the bill.
if business water rates rise the little income the poor get will be further reduced businesses always pass on increases to consumers, Malick wid Teet brag BWA in black now this
Harry bendover gine soon raise he pouch tax too
30-0
Peoples….you are not being hit with more and more indirect taxes, just consider what you are forced to make, though indirectly, as contributions to national development. And please be aware, that the BLP squeezing your testicles with grip pliers, is NOT as painful as when the ousted DLP Administration was doing the same thing, but with hands. Remember to keep smiling and cheerful throughout the pain and suffering, and if you see red at any time, it is not blood, but a symbol of Mia’s love for you.
And the BLP will be holding a mass meeting to tell the people of their “achievements” for the pass year. Gimme a break!!!.
Pepper is a flavorful thing ,but you know what. It burns going in and coming out. Sorry my bajan people.
Lord help us! These ppl (BLP) cannot run a country on cut and contrive like the DLP was doing to keep it’s head above water and at the same time trying to be lenient on the poor while trying to receive the owed taxes from the merchants by introducing the NSRL which MIA remove to protect them and squeeze the poor with more taxes.
The tax net need expanding, some motor mechanics charge large fees and pay no tax whatsoever, do some searching and you will find
Everything is higher taxes and higher rates everything seems to be increasing because of the last administration negligence etc- so now the poor and middle class etc- have to pay for it all …but no one is being held accountable/ arrested .. it’s been over a yr now … nothing is happening but more taxes and increases on the cost of living while all those who robbed the people of Bimshire is living like Lord’s
Dr Mascoll said you can’t tax your way out of a recession while he was in opposition. Now the he is the chief economic adviser to the PM, the lyrics of his tune change.
grin and bear it..we give them all 30..anything they do is because of the last ten yrs and ninety days..right harry? so they can do anything now ..it doesnt matter blame the dlp…it would make a good song…..tax tax i say tax and more tax….
I guess food prices going up even MORE now.
Take a look.
https://ftc.gov.bb/library/sos/2018-10-12-annual_report_2018_blandp_sos.pdf
Lord have mercy.
Maaz A Love: Only a blind bat will believe that all these taxes and increases is because of the DLP. The BLP have their own agenda which was in the making for two years prior to elections. That is what they expect an idiot to believe, so don’t go holding your breath for anyone to be locked up either because they would have to lock up themselves as well. The most thieving that went on is when the BLP was in power for 15yrs and as Nu**R**** said “if the BLP win at 7:00 when 7:30 they will be thieving. so said so done.
https://ftc.gov.bb/library/sos/2018-10-12-annual_report_2018_blandp_sos.pdf
The Government of Barbados knew it could not go to the Fair Trading Commission for an increase in residential water rates as information would be required to show the kind of service the BWA was providing. If the FTA is fair in its deliberations then it would have been impossible to grant an increase in water rates based on the requirements of service imposed on the BL&P and Flow, and which the BWA would also have to match. That is why the tax/levy was used as a means to increase the water rates.
The hope for the increase in commercial rates was placed on the believe that most Barbadians would have embraced the argument that businesses commercial rates should be much higher than residential and this support would overwhelm the FTC forcing them to overlook the service requirements the company must satisfy to justify an increase in rates.
Therefore the argument here should not be should the Government increase the water rates but can they based on the service provided. I think they intend to remove the service from under the FTC.
It would be appropriate for the public transportation service of Barbados to also fall under the FTC.
Every blasted thing going up in this place except salaries,when is this going to end.Lord come for your world.
Well well well..who put de pepper in de vaseline
Deborah King
You so true . It goes to show D&B aint no different
Maybe Light & telephone next. You know , no one want to be left behind.
I too am crying out for an ease .TheLevy’s should never be more money the water bill.highway robbery
So with this additional burden, where in all of this is the growth supposed to come from?
Bajan black people must stop playing politics, must stop aiming criticism at the past government, that is what the useless politicians want…. People want change where is the change , it seems as though this government isn’t even trying , … What is seen to be done is nothing, just talk , talk……… If something is been done, then it can be seen, that something is being done…….
All the people are getting is price hikes, but not wage rises..
What can be noticed, the government of the day ,just seems to attract and attack issues which means nothing to the every day living of the people…….
This little island ,with this massive political infrastructure seems not to be going anywhere.
As I always say , you choose to build a house , but u employ a massive group of painters, no one is getting they hands dirty for( Barbados LTD), where is all these people what are they doing………….
@the 3rdsunofamoffreak….no need to worry…you will continue to get your discount as a regular customer.