UNDER the new management of Chief Executive Officer (CEO) Shaik Baksh, the Guyana Water Incorporated (GWI) has managed to achieve financial stability.
“We have a stable financial position at GWI here and by that I mean we have eliminated any need for overdraft facilities at the bank. Secondly, the cash flow we have is a fairly good cash flow position to meet all of our commitments, that is, employment cost, which was skyrocketing but we have been able through the restructuring of GWI as you know, to reduce the employment numbers. This has resulted in an annual savings of about $240 million,” the CEO said on Friday.
He noted that there has been prudent financial management under the new finance director.
“We achieved a lot of cost-cutting without affecting the operations,” he said.
Baksh went on to say that under the previous administration, millions of dollars were spent on the smallest things which they [new management] have recorded and have cut out.
Additionally, staff buildings were constructed in Regions Two, Five, and Nine, as well as on the East Bank of Demerara.
“Importantly, payment to suppliers which was about $800 million before September 2020, has now gone down to about $50 million owing to suppliers…this is a great achievement we feel. That’s what we call financial stability and sustainability,” Baksh added.
Baksh also said that the government also took the responsibility of paying off GWI’s $8 billion Guyana Power and Light (GPL) debt.
He added that revenue collection has been improving and several strategies are being employed to bring in revenue as in some communities, there is an unwillingness to pay for water services.
“That is a big challenge for GWI. So, we urge customers to come forward and pay the bills to enable us to provide an improved level of service, a better quality of service to the customers,” Baksh said.
According to him, about $3 million is owed by residential and commercial customers.
Baksh explained that unless they collect the outstanding sums, GWI would not be able to offer services to the population and pay employees.