The Editor, Sir:

Your Letter of the Day, Saturday 11th August, headed Office of Utilities Regulation (OUR) gives background to JPS Ivan surcharge is yet another example of the complete disdain that the OUR and JPS have for me and the people of Jamaica.

The facts are:

1. Hurricane Gilbert in 1988 resulted in the destruction of the JPS distribution system with most Jamaicans being without electricity for up to four months. All Jamaicans suffered loss in food, appliances and other property.

2. After Gilbert, few steps were taken by JPS to minimise a recurrence unless you consider the erection of concrete poles, some of which are still horizontal on the roadside, to be remedial action.

When Hurricane Ivan arrived in September 2004, we the customers had again to 'hug' up the loss in food, appliances and property and now we must additionally pay for JPS's loss.

Insurance for disaster

My limited knowledge of business tells me that if I cannot get insurance coverage for potential and foreseeable damage, such as a hurricane or earthquake, then I must (a) construct or renovate my buildings and infrastructure to resist such risk and or (b) make my own provision for self-insurance. Self-insurance - the OUR's excuse that the fund established was immature - is not only lame, it is disingenuous, as some 16 years had passed between 'Gilbert' and 'Ivan'. JPS mismanagement or lack of foresight? In addition to the above, OUR seeks to justify its action by referring to the 'Z' factor, which it claims covers "expenses outside of the control of the company (JPS) and largely unforseeable and almost impossible to predict".

Hurricanes in the Caribbean are 'unforeseeable' and 'impossible' to predict? For the edification of the OUR, since they don't seem to know, Jamaica is in a hurricane/earthquake belt and every year the National Hurricane Center predicts the number of hurricanes, gives early warnings and suggests steps to be taken to minimise damage, should one or more hit.

I would like the OUR to know that I shudder to think what would happen to businesses if they were to increase the cost of their goods and or services in order to cover losses resulting from foreseeable hurricanes.

Finally, I can remember 'Charlie' in 1951 and would like all of Jamaica to know that the construction of concrete roof houses (Mon Harbour View, Hope Pastures, parts of Barbican and Edgewater) were a direct result and they have resisted every hurricane/earthquake since. Take note OUR, JPS and NWA.

I am, etc.,

ROBERT P.D. BAUGH

Industrial Relations

Consultant

Kingston 6