Thousands of residents across the island were without running water for almost 36 hours between Monday evening and Wednesday morning of this week.
The Water Corporation of Anguilla (WCA) sent out a notice to the general public on Monday evening indicating that “due to low production levels caused by an electrical outage and mechanical failure of the back-up generator, the distribution system was shut off affecting the flow of water to all customers island-wide.”
The notice indicated that the distribution shut down was “to preserve tank levels and allow an adequate supply of water to be stored before distribution to customers.”
The flow of water remained turned off all day on Tuesday as well, which seemed to have created alarm and panic across the island. Understandably so, because the island is currently experiencing an unprecedented period of drought and many residents are highly reliant on the WCA as a readily available source of water for domestic purposes.
Customers had been concerned that the water supply situation was not treated with a sense of urgency, as nothing appeared to be happening to restore the flow of water. The general public discovered along the way, that an ongoing issue between the WCA and the Anguilla Electricity Company Limited (ANGLEC) might have been the cause for the “electrical outage” cited in the WCA’s notice to the public. For years, the public had been made aware that the WCA has amassed an outstanding debt to ANGLEC, of over EC$13 million.
On Wednesday morning, the WCA sent out a second notice to the general public announcing good news that the flow of water had been restored at 3:00 am.
The Chairman of the Board of the WCA, Mr Kennedy Hodge, spoke to the issue of water production, water infrastructure and the WCA’s growing debt – debt owed to ANGLEC over the years – on a radio programme on Wednesday with host, Keithstone Graves.
“The Water Corporation has never been properly capitalised or funded since its inception and has no network reach to half of Anguilla’s market area. The half of the market that is being served, is done by a highly deficient network with over 83% of the water produced by the plant lost in leaks. [Nonetheless], the WCA pays that plant [SevenSeas] EC$7 million a year.
“The WCA makes around EC$8 or 9 million a year and pays SevenSeas EC$7 million a year. So, because the company [WCA] is making a loss of over EC$1 million a year, it cannot pay all its bills. That is why the arrears to ANGLEC are mounting, and mounting rapidly.”
Mr Hodge noted that due to the rising cost of diesel, the cost for ANGLEC to provide electricity to run the water plant is also rising.
He said: “The cost of electricity is going up. Last year, it was around EC$375,000 per month or over EC$4 million a year. The company [WCA] cannot pay it. It has no means of paying any electricity bill, and it has no way of increasing the revenues because it has no capital budget. The only way that can be resolved is if a government were to find EC$100 million to invest in the WCA.
“At the end of the day, the WCA is 100% owned by the government of Anguilla. If it makes a profit, the profits can pay its own bills. If it does not make a profit, then the shareholder has to put in the money – that is standard business practice. ANGLEC has been carrying the WCA for years…and in all fairness to ANGLEC, it cannot be expected to carry the WCA …”
While everyone, including many corporations, is experiencing economic challenges during the current unprecedented global hyperinflationary period, many Anguillian customers feel that the WCA, as an essential service provider, should do what it takes to meet its obligation. This would ensure that all its systems are up and running in an effort to keep the essential service – water – available to customers.
Whatever it takes, it is important that an efficient water supply remains available to the people of Anguilla. Let’s hope that the debt issue between the WCA and ANGLEC is speedily rectified.