New tap water rate calculation to be completed soon<\/p>\n
Damar Harsanto, Jakarta<\/p>\n
City-run tap water operator PD PAM Jaya and its foreign partners,
\nBritish firm Thames PAM Jaya (TPJ) and French PT PAM Lyonnaise
\nJaya (Palyja), will have a newly revised basis for calculating
\nthe rate for tap water services by the end of May.<\/p>\n
\"There will be a final decision on the revised basis for the
\ncalculation. We shall adjust the contract (with the two partners)
\nin line with the new basis,\" Assistant to the City Secretary for
\nDevelopment Affairs IGKG Suena said at City Hall on Thursday.<\/p>\n
Suena said the revisions included a new basis for calculating
\nwater charges and capital expenditure, and would form the
\nguidelines for tap water operation in the next five years.<\/p>\n
\"Under the new basis, we hope to be able to finish paying off
\nour debts by 2007.\"<\/p>\n
City Regulatory Agency head Ahmad Lanti said earlier that the
\ntotal debt owed by PAM Jaya to the Ministry of Finance amounted
\nto Rp 1.8 trillion (US$208 million).<\/p>\n
According to Suena, PAM Jaya, TPJ and Palyja would meet next
\nweek to discuss several recommendations made by an international
\ncombined experts team of London-based independent auditor Stone
\nWebster, which finished its audit report in mid-March.<\/p>\n
\"There are significant differences, relating to the
\nrecommendations made by the ICE team, between PAM Jaya and its
\ntwo partners. That's why they asked the administration's help to
\nresolve the differences,\" he said.<\/p>\n
Suena added the meeting would come up with a calculation that
\nwould be approved by the three companies.<\/p>\n
The new calculation would then be presented to Governor
\nSutiyoso and Minister of Settlement and Regional Infrastructure
\nSoenarno for their approval.<\/p>\n
When asked if the new calculation would lead to another water
\nrate hike, Suena nodded.<\/p>\n
\"But the increase will be based on the companies' needs and
\nthe prevailing situation,\" he said.<\/p>\n
Many of Jakarta's 900,000 tap water consumers have complained
\nabout poor services provided by tap water operators, including
\nrepeated disruption of water supply.<\/p>\n
Despite increases in tap water rates, PAM Jaya's financial
\nposition has continued in the doldrums. Water theft and a leaky
\npipe network have been blamed as a cause of massive losses.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/new-tap-water-rate-calculation-to-be-completed-soon-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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