| A water solution is needed |
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| Written by Gordon French | |||
| Wednesday, 23 September 2009 15:30 | |||
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There has been a flurry of statements in the media within the last week regarding the supply of water on Tortola. There are three major players converging on the issue - Government searching for a solution to increase the supply of water and two companies looking to secure business interest. Ocean Conversion (OC) which claims to have over 1,000 local investors has been the primary supplier of water for most of Tortola for the past 14 years. There is no denying that there are several concerns about OC’s service, especially in the area of pricing. Hence, it should come as no surprise that Government jumped to examine an offer from BiWater to supply post-treated water to the entire Tortola. BiWater has only made a proposal to Government and from all evidence, no contract has been signed. It must also be understood that Government did not go shopping for a company to supply water to Tortola hence there was no need for a bid process at the earlier stages of negotiations. However, since Minister for Communications and Works, Julian Fraser has made known Government’s intentions to seriously examine the BiWater deal, one can clearly understand the sudden awakening of OC officials. Arguments have been made by OC that the BiWater proposal will jeopardize the investments of VIslanders and would regress the many advancements made by fore parents to secure an economically viable Territory even when the odds were stacked against them. Earlier this year, many stood by and watched as Government made a chess move to wrestle away Music Fest from a local entrepreneur without proper considerations for the investment of time and money. At that time, the society never responded because like everything else, the situation only affected a particular group. OC is facing a similar fate today where its investments are threatened and its future unsure. Only time would tell if they will gather enough public support to lobby and change the course that Government appears to be leaning towards. While Government has a responsibility to safeguard the investment of its people, it has a greater responsibility to ensure that essential services and proper infrastructure are in place for all, including visitors to the island. Government must seriously weigh the benefits of a few against the benefits of many and make the tough decisions. Water is a necessity and there is no reason for any Government to be grappling with the supply aspect at this juncture of our Territory’s development. The BiWater deal sounds like luscious bait, especially since the company promises to re-run the Road Town sewerage system. The promises are coming from a company whose reputation has been questioned in other countries where it has operated. BiWater is claiming that at Baughers Bay, it can better the Ocean Conversion Ltd price of $21.73 per 1,000 gallons which includes power costs but excludes post-treatment and re-mineralisation costs. The foreign company also boasts of better pricing at Bar Bay. The Ocean Conversion Ltd price of $17.00 per 1,000 gallons includes power costs but excludes post-treatment and re-mineralisation costs, the company states. According to BiWater, their price for fully post-treated, re-mineralised drinking water of $6.85 per 1,000 gallons excludes power costs but includes full post-treatment. The power cost per 1,000 gallons is $3.02 giving a total equivalent cost of $9.87 per 1,000 gallons, BiWater stipulated. As far as OC is concerned, BiWater is neglecting the fact that the cost for water will also be dependent on the contract period. This means that OC had seven years to recover its investment, while BiWater will be given some 25 years, according to the proposed contract. The fight between the two companies will continue to pan out in the media, until Government makes a decision one way or the other. Once Government is serious about a solution to the current water problems being experienced in most parts of Tortola, especially in the East End area, it must move to level the playing field and this can only be done through an effective bid process. This will give both BiWater and OC, a fair opportunity to tender for the supply of water on Tortola. In addition, by Government inviting bids, it will also open the doors to competition, not only from the two aforementioned companies, but there might very well be other companies out there able to come up with a better proposal. Government must not sell itself short and must look to secure the best deal for its people. Comments (0)
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