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Must privatize CUC
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Posted on Aug 18 2000
The Issue: The pile of institutional inefficiencies as a result of poor management at CUC.
Our View: It’s time to explore privatization of the government-run utilities agency.
The Commonwealth Utilities Corporation is riddled with debts to the tune of some $100 million it owes the Commonwealth Development Authority (CDA).
It is a public debt that is piled with other indecisions and the obvious lack of accountability of some $99 million under the former helmsman turned senator in the last election.
Institutional inefficiencies, not to mention wasteful and thoughtless decisions drowned in the politics of the 80 megawatt power project have all piled up into a huge heap of debt the board must contend with today.
The culprit? The attitude that it’s a government agency, therefore, the perpetuation of the notion that any Tom, Dick and Harry is at liberty to flaunt policies on accountability.
After all, government employees aren’t required to show healthy profit margin at year’s end. Private sector employees do! Thus the obvious oceans apart in terms of efficiency.
How do we change institutional inefficiencies in the operation of the utility agency here?
We need not go further than a quick glimpse into the grand success of the once government-run telephone system into private hands or Micronesian TeleCommunications.
It successfully turned complacency, usually associated with government-run agencies, into an efficient and profitable multi-million dollar corporation. It’s a sterling example that privatization works!
The local government must seriously consider unloading a burden that comes with the usual attitude that it’s the government, therefore, the superficial notion that taxpayers can be duped into accepting wastes as a direct result of poor management.
Privatizing CUC would not only trigger short and long-term planning, but services would be far more efficient and superior than what we have seen to this day. It’s an alternative to promoting efficiency in utilities services and a huge savings for the local government. Si Yuus Maase`!
