HDC to tackle customers to pay $33m WASA debt

THE Housing Development Corporation (HDC) will continue its debt-recovery drive in order to stave off the Water and Sewerage Authority (WASA) and other creditors.

In an emailed response to Newsday, the corporation said it is aware of the $33 million debt to WASA for the period 2017 to 2020.

"Over the past year, the HDC has increased its own debt-recovery exercises to recuperate money owed to the HDC from delinquent clients. These funds, along with expected government funding and alternative financing arrangements, will be used to reduce the outstanding debt to contractors and suppliers like WASA. The outstanding amount owed to WASA, will be paid through a structured payment plan, which will be negotiated with WASA."

On Wednesday, chairman of the Cabinet sub-committee on WASA Pennelope Beckles said there will be a collection drive by WASA to collect its debts from government agencies, led by her ministerial colleagues, for some $99 million.

A sub-committee report laid in Parliament on March 5 showed five ministries had unpaid WASA bills at the end of 2020. They are the Ministries of Education, National Security, Public Administration and Health.

HDC, which falls under Beckles’ purview as housing minister, owes the most.

The second biggest debtor is the education ministry with $13 million. The others owe between $7-$8 million each.

Education Minister Dr Nyan Gadsby-Dolly said her ministry has bills from 2016 to present.

"The bills have to be quantified to verify the actual amount owed. Consultation with the Ministry of Finance is required to determine a plan for liquidisation of the debt."

At the Caroni water treatment plant on Wednesday, Beckles in her capacity as head of the sub-committee said WASA is unable to continue without being paid. Water, she said, is a priority for everyone, and the Government will be embarking on a collection drive to get back what is owed to WASA, both internally and externally.

“This is a matter that requires attention urgently," she said.

"Traditionally, some ministries take the position that it is the same government, and people take the decision that when debts are to be paid that agencies like WASA suffer.

"We intend to address this matter seriously. We intend to ask all the ministries who have not been paying WASA to pay. It will be a priority for us. We will be meeting with respective ministries and we will be looking closely at those who have not been paying for years – and there are a number of them.”