As Guma Valley Water Company has tabled a propose tariff increment to the Sierra Leone Water and Electricity Regulatory Commission (SLEWRC), the Commission has on Thursday 5th August 2021, held a public hearing for members of the public, Water Sector players and Civil Society Organizations on the proposed increment of water rates in the Western Area at the Atlantic Hall, National Stadium.
Making his statement, the Director-General Sierra Leone Electricity and Water Regulatory Commission, Dr. Emmanuel Mannah informed the hearing that his organization has the sole responsibility for the determination, approval and review of water and electricity charges in the country as stated in the Sierra Leone Electricity and Water Regulatory Commission Act of 2011.
He stressed the need for utilities and service providers to comply with the provisions of the regulations for the provision of efficient and quality service delivery to consumers.
Chairman for the occasion, Ing. L. S. Tani Pratt said the Public Hearing provides an opportunity for Guma, Consumers, interested stakeholders, focus groups and the Regulator to discuss the proposed tariff in a peaceful atmosphere devoid of rancor. Ing. Pratt admonished that the discussion should be frank, insightful and informative.
SLEWRC Director of Economic Regulations, Brima Bah explained that section 45 of the SLEWRC Act 2011 gives the Commission the authority to approve rates for electricity and water services. Adding that sub section 3 of this same section also makes “provision for the consumers and utilities to be affected by the services, to be given an opportunity to be heard.” He disclosed that the Commission shall take into account any representation made by the public before a final rate or rates are approved.
In accordance with the said provision the Commission have concluded a 21 days “Comment period” and the public hearing is the next step in the process to review the proposed tariff application submitted by Guma, Mr. Bah added.
Justifying the need for a tariff increment, the Guma representatives led by the Managing Director Maada Kpenge did a four part presentation on the rationale for the proposed increase.
Guma argued that increasing population, lack of investment in infrastructure and low tariff are the primary reasons for the challenging water supply situation in Freetown.
The Guma team explained that their objective is to improve access to water supply, improve customer satisfaction and revenue collection by reducing leakages, improve response time to customers complaints, leverage alternative means of providing access (Boreholes, Bowser and Community Services), reduce Commercial Losses and improve on accuracy of customer information.
Guma currently sells a litre of water at Le2.50 and a 1000 litres is Le2,500 which is very low,” compared to a half litre of bottled water, which costs between Le3,000 to Le5,000.
The Guma team added that the company does not receive subvention from government and the company is run by the revenue it generates from water rates. “This is what we use as running costs to buy chemicals, pay staff salaries, electricity charges, pipes and fittings and take care of other liabilities. If we continue our tariff at Le2.50 per litre we would never be able to improve on the water access and infrastructure in Freetown,” the Guma team argued.
The Guma proposal involves increasing the life line tariff from Le 2,500 per 1000 litres of water to Le 7,000 for the year 2021 to 2023.
Feedbacks from the Hearing pertaining to the rate increase were duly noted by the SLEWRC Management.
Guma awaits and hopes for a positive outcome from the hearing for the betterment of water supply in Freetown.