CUC stands pat on disconnection order

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Posted on Mar 14 2001
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The Commonwealth Utilities Corporation has reiterated that power supply in all government offices on Tinian and Rota will remain disconnected unless payments are made.

This came in a form of a directive addressed to utility officials on Tinian and Rota, who were reminded that CUC regulations require that payments should be made before any service is restored.

As a result of this directive, government operations on Rota and Tinian remain interrupted until yesterday despite commitments made by the finance department to set aside $800,000 monthly flat-rate utility payments.

Of the 55 agencies slated for disconnection in Rota, CUC exempted the Mayor’s office and two other essential sites used for school and public safety operations.

The Rota Department of Labor and Immigration settled its own utility bill power supply was immediately restored.

CUC Corporate Communication special advisor Pamela Mathis said the exemption came after Mayor Benjamin Manglona placed Rota under local state of emergency status.

On Tinian, 49 public offices will remain without power until the government pay its utility debts amounting to $892,450. Rota incurred an estimated $312,000.

Ms. Mathis said the government’s delinquent balance remains at approximately $12 million with the CNMI government using about $875,000 to $1 million worth of electricity each month.

The amount even exempts schools, hospitals, street lights, public safety and other essential agencies.

Meanwhile, House Committee on Health and Welfare Chair Rep. Malua Peter urged CUC to reconnect the government’s power supply citing its significant contributions to the machinery.

“Every agency is essential to government operations, it is a deplorable action and power supply should be immediately restored,” the congresswoman pointed out.

Ms. Peter also urged other legislators to implement an effective program on conservation to assist CUC and to prevent accumulated electricity bills.

She said self-policing and enforcement of energy conservation will be the best way to resolve the utility problem and at the same time will help CUC to limit its fuel usage to maintain operations of power grids.

Because of the current economic crisis, she said CUC should understand the financial status of the government, adding that utility officials should also understand that financial constraint has restricted the government to channel funds to pay off its utility bills.

Gov. Pedro P. Tenorio however remain optimistic that the finance department will be able to source out the needed funds to settle the government’s mounting utility bills.

Under cycle one, at least 47 government agencies on Saipan are now under disconnection threat, unless DOF settles $431,873.72 utility debts.

The government stressed that meetings with CUC, DOF and other government officials are ongoing and a deal will be hammered out to resolve the problem.

Finance Secretary Lucy Nielsen earlier disclosed plans to request the Office of Budget and Management for advance allotment on third and fourth quarter budget to pay the monthly commitment to CUC. (EGA)

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