Ex-public utilities minister knocks government’s WASA plans

FORMER public utilities minister Marvin Gonzales has condemned Prime Minister Kamla Persad-Bissessar and Public Utilities Minister Barry Padarath for scrapping a transformational plan for the Water and Sewerage Authority (WASA), which he said would have saved taxpayers $43 million annually instead of the $30 million figure she mentioned at post-cabinet news conference on May 15.

Gonzales, who is also Arouca/Lopinot MP, described Persad-Bissessar and Padarath’s actions as payback to the Public Services Association (PSA) for being a member of the UNC’s “coalition of interests” in the April 28 general election and maintaining a status quo in WASA which benefits the PSA and not the population.

He made these statements at a news conference at the PNM’s Balisier House headquarters, Port of Spain on May 16.

On May 15, Persad-Bissessar ripped up the plan to applause from government ministers and PSA president Felisha Thomas. Former PSA president (now Labour Minister) Leroy Baptiste was among the ministers who applauded the decision to scrap the plan.

She said the UNC’s plans to restructure WASA will focus on the executive posts in the authority and this will result in annual savings of over $30 million.

Padarath described the WASA management structure as top-heavy with 34 executive positions whose salaries totalled over $74 million.

On Persad-Bissessar’s claim the UNC’s restructuring of WASA would save taxpayers’ $30 million annually, Gonzales said, “Nothing could be further from the truth.

“The previous executive positions that this new structure replaced...which included a CEO, directors, heads, senior managers etc...40 persons compared to 38 persons in this new management.”

The real savings, Gonzales continued, would have come from restructuring lower level managers at WASA from 422 to 246 at another level. “That was where the savings was supposed to be achieved. It was not at the executive level.

“The savings was supposed to be achieved deeper down as you go into the bargaining units where the WASA, executive management and the board had to enter into negotiations and consultations with recognised unions representing WASA (workers).”

The PSA represents the majority of WASA’s workers,

He added the cost savings after the restructuring of these management positions would have been $43 million annually.

“That is what was ripped up yesterday by the honourable prime minister.”

Gonzales said the removal of the 34 executive positions raises an interesting question.

“Who is going to lead the authority?”

Gonzales said Persad-Bissessar has hinted WASA will return to the 2010-2015 management structure it had under her first administration.

He added when the PNM assumed office in September 2015, it found documents which showed WASA had a “management structure that was never approved by cabinet...with salaries that were never approved by the CPO (Chief Personnel Officer).”

Gonzales said if the UNC is reverting to this, “then you are increasing the cost of the management of the authority.”

This, he continued, was contrary to the PNM’s WASA restructuring plan to reduce the authority’s cost by $43 million annually.

Gonzales asked what did Persad-Bissessar achieve by ripping up the plan.

He said the UNC-led People’s Partnership (PP) coalition government approached the Inter-American Development Bank for a loan to do some water sector projects.

Gonzales quoted from a PP govt document which said WASA planned to undertake a five year capital investment programme of over US$1.5 billion to improve its efficiency and this would include restructuring the authority.

He said that initiative resulted in WASA’s staff being reduced by 5,000 people and none of the projects identified in this programme being done.

Gonzales claimed the UNC is returning WASA to a time when there was corruption after corruption and mismanagement after mismanagement.

He recalled when he PNM’s WASA plan was laid in Parliament and referred to a joint select committee (JSC) which Padarath was a member of. Gonzales said this JSC approved the plan but made certain recommendations to the government.

Gonzales said because former prime minister Dr Keith Rowley believed the plan was so critical to WASA’s improvement, he had two cabinet sub-committees involved in its development.

The former, he continued, oversaw the plan’s creation before it was laid in Parliament last February.

Gonzales said the latter, which was chaired by former planning minister (now Opposition Leader) Pennelope Beckles, took a second look at the plan after it was approved by the JSC.

He dismissed Padarath’s statement that the PNM negotiated a US$200 million loan from the IDB to improve WASA.

Gonzales said it was a US$80 million loan but additional funding could be sought from the bank, once certain conditions were met.

He described Padarath’s conduct at the May 15 post-cabinet news conference as unbecoming of a government minister.

Gonzales claimed WASA’s efficiency was sacrificed as a reward to the PSA for its support for the UNC in the election.

He also claimed some of the lower level managers who would have been affected by the restructuring were PSA members and the UNC’s actions would maintain the status quo in the authority in the favour of these people.

Gonzales told Persad-Bissessar the water supply improvements she referred to since the election were because of ongoing PNM projects and not the result of the UNC winning the election.

He reminded Persad-Bissessar there was a water-trucking racket in Morne Diablo for 15 years and it was the PNM who acted to stop it.

Morne Diablo falls in the Siparia constituency which Persad-Bissessar represents in Parliament.

Gonzales said the UNC has no moral authority to speak about any development in the water sector.

He promised the PNM will expose every untruth the government utters.