Dark times for CUC

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Posted on Sep 17 2008
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Over the past several months, we have had plenty of time to contemplate the gradual deterioration of our electric utility service, and the situation we’re experiencing at this time. Here are some viewpoints that have been expressed by people to help shed some light on why we are regularly left in the dark. As you read through them, decide for yourself which one makes the most sense.
[B] Rosy view:[/B] We are in our current situation because unforeseeable circumstances and uncontrollable events occurred that were beyond the ability of competent management to anticipate or avoid. However, everyone is doing their best to cope with and improve the situation with limited resources. We should be grateful that we have concerned leadership and dedicated workers who are doing their best during difficult times and trying to find solutions as quickly as possible. [I](If you showed these individuals a glass that has water filled to its midpoint, and asked if the glass is half-empty or half-full, they will tell you that the water is actually overflowing because your expectations are too high, and the water was put in a glass that is too large. You should be grateful that you at least have some water because there are many other places that are worst off, and people who are dying of thirst – so stop your whining.)[/I] [B]Rational view:[/B] The engines are old and have deteriorated because of normal wear and tear. Regular maintenance could have extended their life a little, but they would have eventually worn down. World oil prices, and the difficulty of getting parts have contributed to our high utility rates and regular outages. Even though management should have been able to anticipate some of these problems, CUC is doing their best with limited resources. [I](These individuals will tell you that the glass is half full, and there is room for even more water.) [/I] [B] Realistic view:[/B] Our current situation is the result of years of neglect, incompetence, and mismanagement. There were some uncontrollable events, but competent leadership should have anticipated the future impact and made decisions to avoid it. If the engines were properly maintained, we wouldn’t be experiencing these problems and paying utility rates that are four times as high as the U.S. national average. Poor management decisions and sole sourced contracts with incompetent companies have contributed to the deterioration of CUC and created a situation where privatization is the best solution to keep the utility company going and to reduce the rates. [I](To these individuals, the glass is half empty, and it is probably because there is a leak in the glass and it needs to be fixed.)[/I] [B] Suspicious view:[/B] Conspiring individuals planned this situation and are using current events (i.e. rising fuel costs and malfunctioning engines) as a rationale to carry out their greedy and nefarious intent on an unsuspecting public. Their purpose is to manipulate the public so that they will not only accept, but also demand the solution presented by the architects of this plan because it will appear to be the best choice among several options. Since all confidence has been lost that CUC can properly maintain engines, the people will insist that an outside firm take over operations. Of course, the bidding process will be manipulated so that the chosen firm is the [I]one that best financially benefits the perpetrators of this scheme. (If you ask these individuals about the glass of water, they will tell you that it depends on who filled the glass.)[/I]

You might have given CUC some benefit of the doubt in the beginning, but as more stories, rumors, and hearsay made their rounds, your view probably changed and many have even contemplated the “suspicious view.” However, without hard evidence and investigation, one might be considered a cynic to believe that our elected leaders and those who are given public trust would be so self-serving.

Last Friday in the Saipan Tribune, there was an interesting letter to the editor from a former CUC employee. Mr. Frederick Prosser’s letter adds more credence to the “suspicious view” and it points out that there has been a plan, or hidden agenda for CUC all along. Prosser stated, “This whole mess was very well planned and carried out” by CUC insiders and “several very influential men working with them.”

Their plan, according to Prosser, was to run the power plant into the ground in order to open the doors for privatization, and make a lot of money for themselves. This was to be accomplished through three key decisions made at CUC: First, change the fuel from heavy oil to diesel; second, remove electronic reclosures from the power distribution system so if there is a problem with any part of the distribution system, it will trip the power plant off line and cause an “island-wide power outage”; and third, use non-treated water to cool engines so that it will eventually degrade the radiator’s ability to keep the engines cool and performing at maximum capacity. Now that those three decisions have been carried out, Prosser poses a very good question: “Who made these decisions?”

If individuals did carry out a ruinous plan for CUC for their own greedy intention, there should be some accountability, but do you think it will be investigated and prosecuted locally? Nothing will be done as long as the AG’s legal beagles continue to act like the administration’s lap dogs, rather than the public’s attack dogs. It will require a federal investigation to get to the bottom of this affair, and ensure that the plan is not carried out. Of course, the guilty parties will do everything within their powers to keep those feds from snooping around in THEIR business. If Mr. Prosser’s statements are accurate, this mess is bigger than most of us might have considered, and dark times have truly come upon CUC, and us.

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[I]Rik is a business instructor at NMC and Janel is a partner with BizResults, LLC (www.bizresults.org). They can be contacted at biz_results@yahoo.com.[/I]

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