NASSAU, BAHAMAS — The Grand Bahama Port Authority (GBPA) yesterday announced that it has approved the Grand Bahama Utility Company’s (GBUC) application for a rate increase, to be made effective on June bills.
The GBPA also noted that it has sanctioned customer service standards that the water company must meet. Should the company fail to meet those standards, customer accounts must be credited.
“GBUC, in their application where 40 percent of customers will see no change in their bills, has been approved to commence with proposed capital investment plans that include the construction of a 1.5 million gallon a day mobile reverse osmosis plant to begin construction this year. This is in addition to the recently constructed three million gallon a day reverse osmosis plant that was commissioned in 2021,” the GBPA said in a statement yesterday.
Tier 2 of the water company’s rate scheme is 2,001-10,000 gallons per month, which the utility said 47 percent of its customers fall into. They will see the cost increase by $1.27 per thousand gallons, making for an average monthly bill of $36.29 up from $28.13.
Eight percent of customers fall into Tier 3 and would see their average monthly bills increase from $71.42 to $92.14; while five percent of customers fall into Tier 4, and would see their average monthly bills increase from $432.93 to $558.67. Tier 3 water usage is 10,001 to 20,000 gallons per month and Tier 4 is more than 20,000 gallons.
“The GBPA Regulatory Committee reviewed the application, taking into consideration the concerns expressed by residents and stakeholders to balance the customer needs with having a healthy utility that can provide quality and sustainable service. As part of the formal response to the utility, GBPA has sanctioned the following customer service standards that GBUC will be held accountable to its customers and regulators,” the GBPA noted, adding that if GBUC fails to meet any of requisite standards, customer water accounts will be credited with stipulated amounts.
For example, for new services connected with existing infrastructure, the timeline is within three working days or a $15 credit for residential customers, $30 for commercial and $75 for large.
With regards to responding to customer complaints, customer-generated work orders, billing and payment queries, the stipulated target is within 21 working days where required or similarly a credit of $15 for residential customers, $30 for commercial and $75 for large customers.
The regulator said in its statement that it is cognizant of the catastrophic impact of Hurricane Dorian on the utility company, specifically that the utility lost 60 percent of its potable water supply because of Hurricane Dorian and the 20-foot surge of seawater that flooded its biggest water plant.
“The new Reverse Osmosis plant is critical to the ability of GBUC to resolve the lower pressure being experienced by customers because of the diminished freshwater lens. It is also necessary to ensure that Grand Bahamians will continue to have access to long-lasting and sustainable supply of potable water, which is integral to the standard of life for the island,” the GBPA noted.
It added: “GBPA understands fully the importance of ensuring that this island has access to a consistent and quality supply of potable water that meets World Health Organization (WHO) guidelines. We are cognizant of the critical role of water in our everyday life and future development. We act in accordance with best practices and industry standards to balance the needs of customers, protect our natural resources, and ensure we have a sustainable and storm-resilient utility.”
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