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View Full Version : Proposals for solutions to power crisis



NewsWhore
09-12-2006, 03:30 PM
Several business organizations have expressed surprise that the government has not taken recommendations made by the British consulting firm Adam Smith into consideration when presenting its plan to resolve the power crisis. The Association of Industries (AIRD), the National Young Entrepreneurs Association (ANJE) and the Association of Industries of the North (AIREN) told Hoy that any solution should give priority to strengthening the Superintendence of Electricity, so that it can act independently of political or private interests, and adhere to the law in its decisions. The associations lamented the fact that this was not taken into account in the integrated plan presented by the Committee for Recovery, or in the preliminary conclusions of the workshop on the electricity sector held over the weekend in Juan Dolio.
Adam Smith consultants Ross Parker and John Health recommended that the government make a US$650 million investment over four years, a time span that they consider sufficient for the power distribution companies to double the number of paying clients, reduce power tariffs and cut electricity theft in half. They said that the investment would be much lower than the amount the government currently spends on power subsidies. As reported in Hoy, the consultants emphasized that the solution to the problem is to put an end to theft and the free supply of power. They explained that if collection rates were to improve, prices would come down.

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