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Washington.- (listin.com.do).- There’re won’t be an immediate fix to the energy sector’s crisis unless the electricity production base is changed and the billing problem is decisively dealt with, American Development Bank (IDB) and World Bank (WB) technicians warned Dominican business leaders Tuesday.

Rafael Rodriguez Balza, David Lewis and Jorge Mercado, of the IDB, and David Reinsten,  of the WB, agree that no sector can survive losing so much and profiting so little, resulting from a lack of payment and the government subsidy.

The technicians, who noted that their opinions are personal, spoke in a panel as part of the activities of Dominican Week in the USA 2013, hosted by Dominican Republic’s American Chamber of Commerce (AmCham-DR).

Mercado said there’s no signal from president Danilo Medina’s administration as to where the electricity sector needs to go, and called the replacement of the management left by the previous administration in the State-owned Electric Utility (CDEEE ) and electricity distributors (Edes) a “blunder.”

“To train managers and then replace them is a waste of resources," affirmed Alfonseca, who warned that if the issue of the billing isn’t dealt with, the country’s energy problem has no solution.

"The bottom line is that regardless of state or private ownership, the managers must be paid incentives. If you provide incentive to reduce losses, more will be achieved in that regard," Mercado said.

And while Reinstein hails the institutionalism he affirms the sector has accomplished, he said he regrets that none of the entities fulfill their duties. "In theory it’s very nice but in practice these institutions aren’t allowed to act from above, despite the existence of all the conditions to have a modern electrical system."

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COMMENTS
26 comment(s)
Written by: RobertoJose, 15 May 2013 7:47 AM
From: United States, FREEPORT, Long Island......blues and stripe bass
You see, I told you......It makes no sense to pump out more electricity without properly overhauling the system. You're going to add two coal plants and a NG plant, for what!!! So that the government can stay in debt?
Written by: Atabey, 15 May 2013 7:59 AM
From: United States, Bring DT Forum Back--

The economy needs more capacity BUT THE ACHILLIES HEEL ARE PAYMENT COLLECTION AND OPERATIONS.

High time these two were tackled.


Written by: josean, 15 May 2013 8:08 AM
From: United States, Fighting the Dictatorship of the Narco PLD Mafia; Guillermo Moreno President 2016



The ACHILLIES Heel is the Neo Liberal ENRON Privatization wrought upon the Dominican People by Narco 97/3% Lie-onel and the Criminal Enterprise also known as the PLD!


Written by: josean, 15 May 2013 8:15 AM
From: United States, Fighting the Dictatorship of the Narco PLD Mafia; Guillermo Moreno President 2016

"Mercado said there’s no signal from president Danilo Medina’s administration as to where the electricity sector needs to go, and called the replacement of the management left by the previous administration in the State-owned Electric Utility (CDEEE ) and electricity distributors (Edes) a “blunder.”


This smells like a Marranzini /Lie-onel inspired Attack on Saint Danilo!



Written by: RobertoJose, 15 May 2013 8:29 AM
From: United States, FREEPORT, Long Island......blues and stripe bass
There has to be a reason why more than half the population is without a meter
Written by: Ricardolito, 15 May 2013 8:59 AM
From: Dominican Republic, Zona Colonial
RobertoJose, I do not know if what you say is factually correct but there should be at least one meter to every buildingin the country ...but that is only half the problem because we live in a country where a large percentage can not afford power nor water .As aresult they either do without or steal it .
More regretable are thecases of the shopping malls and factories who can afford the power but do not pay .
Written by: dreadlocks, 15 May 2013 9:08 AM
From: United States
says Profe

Written by: Atabey, 15 May 2013 7:59 AM
From: United States, NYC

The economy needs more capacity BUT THE ACHILLIES HEEL ARE PAYMENT COLLECTION AND OPERATIONS.

High time these two were tackled.

care to offer some suggestions?
Written by: Gringo_1, 15 May 2013 9:28 AM
From: Dominican Republic, Bring DT Forum Back
@ricardolito. They may be poor, but they all got smartphones and blackberry messenger. Meters that you re-charge like cell phones may be the answer.
Written by: RobertoJose, 15 May 2013 9:38 AM
From: United States, FREEPORT, Long Island......blues and stripe bass
Ricky,
I'm going on a year and I'm paying a set price, I was told it was a temp. I just acquired an A/C, flat screen, tread mill and a double door Frigidaire, a year ago it was a 27" and a smaller fridge. The way they determined my consumption they asked my wife what appliances and electrical equipment she will be using and being a dominican in the dominican rep she stretched the truth a little. Imagine how many others doit this way as well and add the ones with free hook up and the system is set to fail no matter how much electricity is pumped into the out dated grid.
Written by: avi8or55, 15 May 2013 9:47 AM
From: United States, Sosua
They need to rid themselves of charging the people in barrios flat rate fees instead of installing meters. I know people who pay RD$17.00 per month, others paying RD$200.00 per month. Meanwhile, they have microwaves, a/c's, freezers, etc.

They need to computerize the billing system and quickly disconnect those who do not pay.
Written by: josean, 15 May 2013 9:55 AM
From: United States, Fighting the Dictatorship of the Narco PLD Mafia; Guillermo Moreno President 2016

"but that is only half the problem because we live in a country where a large percentage can not afford power nor water"

Finally, Little Rickey hits one out of the PARK!


This is why the government can’t crack down and obligate people to pay; there would be a civil uprising and strife on the streets.

Electricity is not a luxury it is a necessity in today’s world. In third world countries privatizing this basic service with it added cost structure of expensive salaries, perks and dividends to stock holders, if they are publicly traded, is just not feasible given the low income of the average Dominican consumer in this case.

Privatization is a Luxury for the Rich the Poor Just Can’t Afford to Pay!


Written by: Atabey, 15 May 2013 10:14 AM
From: United States, Bring DT Forum Back--

Dready,

A vexing problem that needs to be put right to strengthen the fiscal and macro-economic stability moving forward in DR.

First tackle those that CAN pay; the Malls and other private concerns, then tackle the more difficult segments. And here a steady but measurable decrease in stealing and correct metering are essential components.

Unless this very old legacy problem is not corrected the State will continue to hemorrhage much needed funding streams to this perennial albatross.


These funding streams could better go into proving good decent housing, and other worthy projects.


At heart only a sustained economic expansion that delivers formalized jobs coupled with far better and tighter administrative management of costs and higher collection rates will see this problem reach acceptable compliance standards.


It needs to be corrected.


Written by: RobertoJose, 15 May 2013 10:25 AM
From: United States, FREEPORT, Long Island......blues and stripe bass
lol...Atabey said " tighter administrative management". I was beginning to think you didn't believe in that sort of behavior.

Well, I guess you have to start somewhere as long as it's not at the Palacio, right Atabey.
Written by: BASTA, 15 May 2013 10:31 AM
From: Dominican Republic, =Ghetto/Legalize Drugs/Free abortions for all Never Confuse Education with Intelligence
must be paid incentives== sure like the 24 million that was paid out for that former ass who did bugger all.
Written by: josean, 15 May 2013 11:16 AM
From: United States, Fighting the Dictatorship of the Narco PLD Mafia; Guillermo Moreno President 2016


The ACHILLIES HEEL is the Neo Liberal Privatization that Narco-Lie-onel and the Criminal Organization otherwise known as the PLD Wrought Upon a Country with a sub-par Third world Income Structure.


Written by: dreadlocks, 15 May 2013 12:44 PM
From: United States
says Atabey

These funding streams could better go into proving good decent housing, and other worthy projects.

if they can't pay electricity bills, how are they going to pay mortgages? i just met a lady who came from a meeting with an edenorte supervisor, just this morning. she owes 28,000 pesos. how? why can't i not pay since 2010, and still have lights?
Written by: JHCL2016, 15 May 2013 12:57 PM
From: United States, EN PUNTA CANA: Jose H Con Leonel 2016!


The Mamagrono HM was the one who messed up that process....


( ';@ )

Again????
Written by: josean, 15 May 2013 4:03 PM
From: United States, Fighting the Dictatorship of the Narco PLD Mafia; Guillermo Moreno President 2016


josean says:

"This is why the government can’t crack down and obligate people to pay; there would be a
CIVIL UPRISING and strife on the streets."

Narco Lie-onel agrees with josean:

“LF: Recipes from the IMF have political costs”

"They can tell you, for example, we are going to lend you $500 million dollars so that you can meet your immediate financial needs, but that country has to increase the electricity rate by a 100%. Then they push Governments into a situation of a virtually tragedy, because if the Government makes the mistake of accepting prescriptions of this nature, it is causing the population to go into a REBELLION", he added.

Wow Lie-onel sounds like josean Now!

Read the rest of the Opportunistic Change of Heart after his Poll Numbers are nearly in single digits at:

almomento.net/articulo/136464/LF-recetas-del-FMI-tienen-costo-politico




Written by: Mart1n, 15 May 2013 7:13 PM
From: Dominican Republic, North coast
Double standard My father in law never paid for electricity and he went and told them to cut him off the system. They told him that they can not cut him off unless he pays the bill. My next door neighbor gringo went past the billing time and they quickly cut him off.
Written by: josean, 15 May 2013 7:21 PM
From: United States, Fighting the Dictatorship of the Narco PLD Mafia; Guillermo Moreno President 2016



That's pay back for giving us Trujillo and the invasions!


Written by: juanb, 16 May 2013 2:03 AM
From: Dominican Republic


The headline is wrong. There is a quick fix.

Make everyone pay for the energy that they use. Stop the theft of electricity and there will be a surplus of money with which to run the system.
Written by: dolo1, 16 May 2013 2:11 PM
From: United States
the achilles heel is no rule of law.

if investors had any confidence in the investment climate in the DR, a number of entrepreneurs would have already attempted to provide energy in a way that would serve a customer base and make a profit.

But, the whole energy-industrial complex is controlled by government and politicos who are only concerned with kickbacks - their only incentive is to maintain ineffective near monopolies and prevent competition.

Written by: kered, 17 May 2013 10:21 AM
From: Dominican Republic
I have written often of the complete incompetence of all but one lower/ middle management of Edenorte. I have reported theft...NO action>> I have reported active meters without bills...NO ACTION>>> ETC ETC The ENTIRE system needs overhaul
Written by: Carpintero, 17 May 2013 1:36 PM
From: Dominican Republic, Dominican Republic
One reason this doesn't get fixed is that most upper and middle-class people have inverters and battery banks so they don't have to suffer when the street power is off. Yes, it's expensive (and inefficient) but not enough for the influential parts of society to make it a major priority.

For those who don't have inverters, the fact that they only have power about half the time is not an incentive for them to want to pay for it.

BTW - The same dynamic is at work with water. The public water supply is not pure so everyone that can afford to buy bottled water does so, which means there's little pressure to improve the system. Only the poor are left without drinkable water.
Written by: josean, 18 May 2013 9:06 AM
From: United States, Fighting the Dictatorship of the Narco PLD Mafia; Guillermo Moreno President 2016


Carpintero,

Excellente!


Written by: chillinout, 18 May 2013 8:49 PM
From: Dominican Republic
We have a private company supplying electricity here in the Samana Province and it is on most of the time. The bad news is it costs RD$ 20.00 per kilowatt or $0.50. To run lights and 2 fans at night, fridge, water pump, a pool pump one hr a day, and washing machine the bill is RD$ 9000 a month.

The rate for my home in Florida is $0.11 per Kw.
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