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Guma Explains New Tariffs

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By Mohamed Fofanah.

Guma Valley Water Company (GVWC) yesterday explained the reasons for the proposed increment in tariffs as part of efforts to increase access to water supply, improve revenue collection, and improve customer satisfaction including the reliability of supply.

Speaking at a public hearing for GVWC’s tariff application at the Atlantic Hall in Freetown on Thursday, the General Manager of the company said the increment would cover operations and maintenance costs including chemicals, fuel, electricity, pipes & fittings, and pay salaries and wages; continuous expansion to the infrastructure; macroeconomic conditions; and leverage private participation.

The proposed increment will also be expected to reduce leakages, and improve response times for the company which is not sub-vented by Government to provide access to safe, affordable, and sustainable water by 2028, said Ing. Maada S. Kpenge.

Guma Valley gets its funding mainly from taxes, transfers, and tariffs. The company last upgraded tariff in 2016 with the exchange rate at the time trading at $1.00 = SLL5,500, according to Ing. Kpenge.

GVWC data shows that 6000L bowser capacity is sold at SLL240,000 for residential use in central or inbounds, while commercial for the same destination is sold at SLL300,000. 6000L will now be sold for SLL400,000 for the former, and SLL460,000 for the latter.

The total length of the transmission pipelines is 81km with the majority over 50 years old, according to Raymond Awoonor-Williams, Director, Water and Technical Service at the company. He added that 30 percent of the distribution pipelines are inactive due to corrosion, ageing, and weak pipes which are unable to withstand water pressure, with leakage rate estimated to be between 35-40 percent.

After the public hearing, the Sierra Electricity and Water Regulatory Commission (SLEWRC) will be expected to issue a formal ruling, announcing the approved rates which will be expected to be published in the gazette.

The Director-General of EWRC, Emmanuel Mannah described GVWC’s request for a change in rates as reasonable and affordable.

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