It’s nearly mid-December and an issue that was supposed to have been decided three months ago is still being discussed. And it is likely that the matter will not be resolved, once and for all, before the Christmas festivities are over.
The reason for this is obvious. With a reported slowdown in economic business, talk of an international recession and people worried as to how they will make ends meet, the last thing any government wants to do is continue to rock the boat before or during what is considered to be the busiest time of the year from the commercial point of view.
The last time households received their water and electricity bills was last September, for which they paid a surcharge of 95 per cent. Since then, the government has come up with proposals of doing away with the surcharge mechanism and increasing the basic rates. This has led to protests from all quarters – unions and employers – and in spite of all the discussion that has taken place since then, the matter has not been concluded. The unions took to the streets in unison, but no agreement has as yet been concluded, not even after the government presented its last document late last month.
It is rather ironic that we are still talking about what the new rates are going to be now that the price of oil – which triggered all this debate when it shot up to nearly $150 per barrel in summer – has now dropped to below one third of that price.
And it seems there is every intention to prolong the issue at least until January. In December, people tend to spend more than they normally do at other times of the year. They buy presents for their loved ones, buy new clothes for their Christmas activities and frequent restaurants more often.
If they had to receive their water and electricity bills now, with the increased rates, it is then likely that they will cut down on their spending this month. The shop owners and restaurant owners will be up in arms against the government for negatively affecting their business at the most important time of the year.
The Chamber of Small and Medium Enterprises was already rearing its head when the Super Five prize money was going up, thinking that people would rather try their luck on guessing the five winning numbers than to buy their usual commodities, that extra pair of shoes or eat out one more time. The issuing of the energy bills now would be considered as another blow to the economy at a time when people usually spend more.
The problem, however, will not go away and one fine day there has to be some form of conclusion. Whatever is decided, people know that they will have to start paying more for the electricity and water they use. And it is quite unfair that the government continues to insist that the new rates will be backdated to October. All shops are obliged by law to indicate the price of the item they are selling; the same goes for companies offering their services. The water and electricity rates should not be an exception.
Secondly, one hopes that people will not be receiving hefty bills for four months or more, and have to pay them up all at one go. It is not the people’s fault that the discussions on the new rates have not been concluded. It is therefore imperative that, once a decision is finally taken, the bills covering the period during which no invoices were issued should be staggered over a period of time.
In this way, families would not have to fork out the hefty sum all at one go. Otherwise, the economic slowdown that is being avoided now will fall upon us later.