Worrying Increase In Water Tariffs
THE Minister of Information and Broadcasting, Nangolo Mbumba, this week announced a 12 per cent increase in the price of bulk water for this financial year.
Explaining the Cabinet decision to approve the price hike, he said
that the increase had been necessitated by the high cost of water
supply.
And while these increases will affect everyone in Namibia, rich
or poor, it will undoubtedly affect the marginalised communities
most of all.
Mbumba did give some explanation for the move, but as usual, we
question whether the public has been given all the facts.
NamWater is of course, a parastatal or State-owned enterprise,
and like many others that have come under the spotlight because of
corruption, mismanagement and astronomical salaries for top
executives, we have to ask Cabinet: 'Did you give your approval
after having satisfied yourselves that the parastatal in question
has managed this scarce and precious resource and the income
derived from it in a proper manner'? We are told now that the 12
per cent increase would enable NamWater to break even and obviously
there are few who would not welcome such a trend in parastatals in
general.
However, we are not sure whether to believe this statement.
Mbumba said in the same breath when he announced the increase
that Government had committed itself to financially supporting the
supply of water to rural areas - but we will have to wait and see
whether Government delivers on its promises.
Water is a very scarce, precious and essential commodity and it
is essential for survival.
Its management needs to be in very sound hands if we are to
provide all our communities with access to this resource, and we
are not in fact sure whether this is the case.
NamWater itself has admitted that local authorities are in
arrears to the tune of N$70 to N$80 million, and we fail to see how
an increase in the price of water is going to reduce this debt.
In fact it will probably skyrocket, since many communities will
be unable to afford the trickle-down effect of the bulk water price
increase.
In the light of the increases and in light of government
transparency in such matters, we believe that people have the right
to know whether they are being fully informed that all is well at
NamWater - that there is fiscal responsibility.
Also, hopefully, salaries for top executives are not as
excessive as that of the Agribank CEO, which was recently revealed
after his departure from the parastatal in question.
We are not implying wrongdoing, but simply questioning, in view
of other startling revelations about mismanagement and waste at
other parastatals, in order that the public can arrive at a
conclusion that the increase is indeed justified.
If indeed the increase is based on improving water supply lines
and extending these to areas formerly neglected, there is merit in
the move.
But perhaps NamWater needs to be more specific as to the actual
costs and details of the water infrastructure improvements, before
people can accept the increase is in fact necessary.
We would request that Government ensure that the parastatal
fully justify the reasons for the increase if they haven't done so
already.
Only then can the public decide whether the price hike is
merited.
And while these increases will affect everyone in Namibia, rich or
poor, it will undoubtedly affect the marginalised communities most
of all.Mbumba did give some explanation for the move, but as usual,
we question whether the public has been given all the
facts.NamWater is of course, a parastatal or State-owned
enterprise, and like many others that have come under the spotlight
because of corruption, mismanagement and astronomical salaries for
top executives, we have to ask Cabinet: 'Did you give your approval
after having satisfied yourselves that the parastatal in question
has managed this scarce and precious resource and the income
derived from it in a proper manner'? We are told now that the 12
per cent increase would enable NamWater to break even and obviously
there are few who would not welcome such a trend in parastatals in
general.However, we are not sure whether to believe this
statement.Mbumba said in the same breath when he announced the
increase that Government had committed itself to financially
supporting the supply of water to rural areas - but we will have to
wait and see whether Government delivers on its promises.Water is a
very scarce, precious and essential commodity and it is essential
for survival.Its management needs to be in very sound hands if we
are to provide all our communities with access to this resource,
and we are not in fact sure whether this is the case.NamWater
itself has admitted that local authorities are in arrears to the
tune of N$70 to N$80 million, and we fail to see how an increase in
the price of water is going to reduce this debt.In fact it will
probably skyrocket, since many communities will be unable to afford
the trickle-down effect of the bulk water price increase.In the
light of the increases and in light of government transparency in
such matters, we believe that people have the right to know whether
they are being fully informed that all is well at NamWater - that
there is fiscal responsibility.Also, hopefully, salaries for top
executives are not as excessive as that of the Agribank CEO, which
was recently revealed after his departure from the parastatal in
question.We are not implying wrongdoing, but simply questioning, in
view of other startling revelations about mismanagement and waste
at other parastatals, in order that the public can arrive at a
conclusion that the increase is indeed justified.If indeed the
increase is based on improving water supply lines and extending
these to areas formerly neglected, there is merit in the move.But
perhaps NamWater needs to be more specific as to the actual costs
and details of the water infrastructure improvements, before people
can accept the increase is in fact necessary.We would request that
Government ensure that the parastatal fully justify the reasons for
the increase if they haven't done so already.Only then can the
public decide whether the price hike is merited.