The Minister of Works Desmond Bannister says the government is looking at a comprehensive plan to save the Water and Sewerage Corporation millions of dollars on an annual basis.
Speaking with this Journal on the path WSC will take with its so-called right sizing exercise, Mr. Bannister, said plans are in place, although he could not say exactly when the Voluntary Separation Package (VSEP) process will happen.
“I spoke with the executive chairman recently, he anticipates that that will be offered very shortly, so employees of WSC are getting ready for it.
When asked how many persons the corporation intends to severe ties with and how much the government would save, Mr. Bannister said: “I can’t say that at this stage, but you hang tight we’ll let you know”.
However, Mr. Bannister added that the VSEP was not the only avenue the government is looking at to save the corporation from losing millions of dollars yearly.
“Water and Sewerage has a comprehensive plan that involves not simply the VSEP, but it involves a whole rebuilding exercise in the family islands, with their plants giving Bahamians an opportunity to invest in them, Mr. Bannister said.
As for financial woes, Mr. Bannister added that there are various reasons and challenges that have caused the corporation to lose, speaking to the current financial state of WSC.
“If you look at the financials, you’ll see that every year WSC loses millions and millions of dollars, their finances are published, and you can look at them.
“They lose too much money and that’s you and I paying that, so we have to do something about it.
Mr. Bannister added that this loss is due to inefficiency, from water leaks and the fact that less is charged for the consumption of water than it is to produce it.
In June of this year, The Board of the Water and Sewerage Corporation decided to bring criminal charges against certain individuals in the wake of the Forensic Audit that found what the Chairman, Adrian Gibson termed tendering and procurement irregularities, suspected misappropriation of assets and questionable undertakings.
In addition, the audit also found that contracts were being awarded above the pre-approved limits; there was a lack of vendor diligence; companies were being newly established for the awarding of a contract; there was no standing Tenders Committee for at least 5 years, meaning the General Manager gave contracts below $100,000 by himself, said Mr. Gibson.
