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February 17, 2005 – Saying that the security deposit levied by the Virgin Islands Water and Power Authority was unconscionable and exorbitant, Senator Liston Davis informed Alberto Bruno Vega, Executive Director of the authority, who was testifying before the Committee on Government Operations and Consumer Protection on Tuesday last, that he has proposed legislation for drafting which would reduce the amount of security deposit for electricity currently charged by the agency.
"The rules and regulations promulgated by WAPA in December 1991 authorized the entity to charge an amount equal to two months' average actual billing where there is prior usage by the customer or two months estimated usage where there is no history, with a minimum of one hundred dollars," said Senator Davis.
Significantly, the two months' deposit for electricity charged by WAPA to some customers has amounted to several hundred dollars, added the Chair of the Committee on Education.
"For example, under the current structure of security deposit charged by WAPA for new or transferred customers where the actual or estimated billing was, say four hundred dollars per month, that customer would be billed eight hundred dollars in order to obtain electricity service from the authority," the chair of the committee on education explained.
Senator Davis said that the eight hundred dollars security deposit charged by the Virgin Islands power authority in the example are monies a customer making the deposit may not see for many years to come.
"I really can't understand how this unconscionable practice by WAPA has been allowed to go on since 1991. My proposed legislation would bring relief to thousands of power users by mandating a drastic reduction in the amount charged by WAPA for security deposit. As the saying goes: The time is always right to do the right thing," said Senator Liston Davis, Chair of the Commission on Education, Culture and Youth.
