NWC owed more than $50 billion by customers

 

Minister with responsibility for Water, Matthew Samuda, has announced that the National Water Commission is owed more than $50 billion by its customers.

 

Speaking at Wednesday's post Cabinet press briefing, Mr. Samuda said the amnesty recently announced by Prime Minister Dr. Andrew Holness is part of an initiative to improve the finances of the utility company.

 

More than 30,000 NWC customers are expected to benefit from the government's debt forgiveness on water bills.

 

The Prime Minister said the NWC will write off the debts of some pensioners and vulnerable people who have been disconnected for non-payment of their water bill.

 

Dr. Holness also announced that residential customers disconnected for longer than six months but who have payment arrangements will get a 50 per cent or more discount on the debt.

 

Mr. Samuda on Wednesday admitted that the NWC is facing major challenges in collecting from its customers.

 

"Receivables, aged receivables in excess of six months for the NWC is in excess of $58 billion. As a subset of these receivables related to debts longer than two years...is $45 billion. So there is a $13 billion gap. The potential right down of 50 per cent between six-month and two-year gap is $6.5 billion, give or take. So persons have the ability to get $6.5 billion of benefit, of relief from this government," he announced.  

 

He conceded that the NWC will not be able to collect billions of dollars from customers who have been disconnected from the system for years.