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NWC project shunned - International financiers leave rehabilitation plans in limbo
published: Sunday | October 12, 2003

Glenda Anderson, Staff Reporter

A PLAN to rehabilitate large sections of the sewerage and water treatment systems across the Corporate Area and St. Catherine is in limbo as National Water Commission (NWC) officials have so far failed to attract international sponsors.

Dubbed the Soapberry project, the work is set to cost the NWC about $400 million to set up and operate.

The new systems to deal with sanitation would have meant a relief to nagging sewage woes for residents of downtown Kingston, communities along Spanish Town Road, sections of St. Andrew including Duhaney Park, Cooreville Gardens as well as areas as far east as Harbour View; and sections of St. Catherine.

"It would mean that we have to continue to operate the existing systems, many of which are already past their normal lives," NWC communications manager Charles Buchanan said.

He said the Commission had approached "all of the international lending agencies" but had been unsuccessful to date.

"In many instances they have shown interest. Some have been more interested than others but the underlying issue for the lending agencies was if the NWC costs of operating continue to exceed the rate (collected) then it would be an issue of concern in continuing to lend funds," he said.

BROKEN INTO PHASES

The Soapberry project has been broken into phases to be more manageable, Mr. Buchanan said, but even so, attempts to get local support would not have been enough, or in the NWC's favour.

"Even if local banks were able to put up the funds, it would be at higher rates of interest. The major projects are extremely expensive and based on the fact that the rates do not come anywhere near what is required, some persons are concerned about viability."

Last year a study by one NGO/environmental group, found that the majority of the island's sewage treatment systems did not work efficiently.

"Most of these systems are between 20-30 years old which makes most of them non-functional in terms of their design capacity. There are approximately 150 such systems in Jamaica which include: Aerated Lagoon, Activated Sludge Oxidation, Ditch Sand Filter, Septic Tank/Tile, and Field Rotating Biological Contractor Trickling Filters," the report said.

Checks with the National Environment and Planning Agency's Kingston office could not confirm the number or status of the systems islandwide.

The NWC provides sewerage services to 30 per cent of the population, with approximately 400,000 customers. It operates 100 sewage treatment plants, and 850 treated water storage facilities.

Three new systems were recently acquired by the NWC to handle sewage in Negril, Ocho Rios and Montego Bay.

In July, the NWC cited the need to combat high electricity charges and maintenance costs, while bringing customer charges more in line with consumption.

But the public is showing little appreciation for the NWC's request for the proposed 42 per cent rate increase.

A consultant report on the NWC from auditing firm PricewaterhouseCoopers (PWC), determined that the Water Commission could see a serious fall in its quality of service if it continues to operate at the current rate structure.

"The worsening financial situation would be more reflected in curtailment of service in many areas and reduced service quality in others," the PWC consultants said.

The NWC's electricity bill is reported to be more than $100 million per month.

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