MINISTER OF State in the Ministry of Water and Housing, Harry Douglas, has said that an increase in private sector investment in providing potable water will be necessary if government is to achieve its policy objectives of water for all communities by 2010.
"The government alone will not be able to make all the investments required to achieve our policy objectives," Mr. Douglas said. "In fact, our philosophy is that the government is not really interested in providing those services that the private sector can provide efficiently. This is why we are making changes to the legislation to accommodate the private sector."
A SOCIAL GOOD
He said, however, that government recognised that water, to some extent, "is a social good", and as such has to be involved in its provision. "What we have to ensure is that where the Government is involved, there is no waste and we get maximum value for our money," he said.
Mr. Douglas was opening the Pulsafeeder Training Seminar hosted by local industrial equipment distributor, Champion Industrial Equipment & Supplies Limited, of Gretna Green Avenue, Kingston and the American manufacturer of water metering and control systems, Pulsafeeder Incorporated, at the Jamaica Pegasus Hotel, New Kingston, recently.
During his speech, the Minister noted that Government's policy objective is to make water available to all communities in Jamaica by the year 2010.
HAS BEEN ALONE
"For years the government has been alone in constructing and managing water supply systems. We have done very well, given our small size and our limited resources. However, 30 per cent of the population still have no access to piped water. To close this gap, large amounts of resources are required," he said.
The intention of the government is to ensure that water supply is expanded to new communities, while the National Water Commission (NWC) improves its service to those customers they currently have. In both areas, the private sector can play a significant role, he said.
"Under the new legal framework, any private entity can apply to the Office of Utilities Regulation (OUR) for a licence to operate a water supply facility and enjoy the same rights and privileges as the NWC. Therefore, we expect that very soon there will be a number of players responding to this new opportunity," he said.
The NWC was free to form whatever alliance it deemed necessary to the private sector in order to improve its service, he added.
The NWC is expected to make $500 million per annum from new water rates announced earlier this month, most of which will be spent in rehabilitating the existing infrastructure to provide better service, Minister Douglas confirmed.
