PDAM Manado in trouble

MANADO, North Sulawesi: A tap water company belonging to the Manado mayoralty is on the brink of financial collapse, according to its director.

Hany Roring, the director, said that the company's revenue had not matched its expenses.

"Only this year we have suffered a Rp 100 million deficit," he said, blaming the increase in electricity bills and the high price of pipes.

According to Roring, his office's monthly electricity bill is Rp 300 million. "The amount is much higher than the employees' monthly salaries."

The maintenance of the distribution pipes was also costly, he said. "Up till now we have repaired only 67 percent of the leaking pipes."

"If by the end of August no efforts to rescue the company have been made, the company will close down. This means that thousands of people living in Manado will no longer receive tap water," he said.

"We have to increase the water rates by between 53 percent for households, places of worship and institutions like hospitals and 71 percent for industries starting from August. We hope that consumers will be able to understand this. We call on consumers to pay their bills on time. (48/sur)