Le Hunte: TTPost a drain on Treasury

PUBLIC Utilities Minister Robert Le Hunte has said TTPost was in the process of being transformed as it was currently a drain on the Treasury.

He was speaking last week Monday as the Standing Finance Committee considered the estimates and spending of the Public Utilities Ministry. Caroni East MP Dr Tim Gopeesingh noted the $70 million subvention to TTPost and asked why it could not be self-sufficient. Le Hunte said the ministry has been trying as much as possible to increase the revenue of TTPost.

“(With) the postal system, the actual post from the mail is decreasing. We have been working with TTPost over the years in increasing revenue in other areas, especially the areas like courier systems.”

He reported in 2018 the revenue for TTPost was $66 million but expenditure was $141 million, for 2019 revenue was $68 million but expenditure was $147 million and in 2020 the revenue is $77 million.

Gopeesingh asked if the major part of the expenditure was personnel, but Le Hunte said it was because TTPost was getting into new business to generate revenue via the courier side of the business.

“So what we have been trying to do is transform TTPost and try to see if they can get into new items, new lines of business, which is increasing their expenditure, but it is also giving them increased revenue. Because that is an organisation that needs to reposition itself as...revenue from mail, which is a bulk of their operation, is actually reducing. So we have to do something to try to reduce that level of subvention over time.”

He added: “Right now it is a drain on the Treasury.”

Caroni Central MP Dr Bhoendradat Tewarie asked about the announced zip code system and whether it would be aligned with the Elections and Boundaries Commission (EBC) sending out election notices. Le Hunte said the system was a long outstanding project and should be completed by December, or January next year. He added that some people had received their zip codes and were using them. “How it is utilised thereafter I don’t know.”