(Koror, Palau) The Palau Public Utilities Corporation (PPUC) has once again appealed to the Olbiil era Kelulau for legislative support on a range of critical issues impacting its ability to serve the people of Palau.
In a letter to both Senate President Baules and House Speaker Anastacio, PPUC CEO Frantk Kyota outlined several areas where legislative changes are necessary to ensure the corporation’s financial stability and enable it to fulfill its mission of providing essential utilities.
Key requests include:
- Funding for low-income utility connections: PPUC seeks an appropriation of over $722,987 to fulfill its Community Service Obligation (CSO) of providing essential utility connections to low-income residents.
- Cost recovery for water services in outlying states: Amending or repealing relevant legislation would allow PPUC to charge water rates that cover the cost of providing service to outlying states, enabling further water system development projects.
- Funding water infrastructure through environmental fees: PPUC proposes earmarking $5 of the Pristine Paradise Environmental Fee for water infrastructure improvements in Babeldaob and the outlying states.
- Addressing net metering costs: Amendments to the Net Metering Act are sought to ensure PPUC recovers the costs associated with grid-connected home solar power systems, currently being absorbed by non-solar customers.
- Carbon Tax allocation for water infrastructure: PPUC advocates for dedicating a portion of the Carbon Tax to fund water supply infrastructure improvements, including outlying state systems.
- Increasing Lifeline subsidy eligibility: Raising the income threshold for Lifeline program eligibility from $20k to $30k would expand access to this critical support for vulnerable populations.
- Removing limitations on contract employee terms: PPUC seeks to eliminate the current two-year term limit on contract employees earning over $40,000, aiding in attracting and retaining qualified staff.
- Offering supplemental health insurance: Amending legislation would allow PPUC to offer competitive health insurance benefits to its employees, aligning with market practices.
PPUC emphasizes that these legislative changes are crucial to its financial sustainability and ability to undertake necessary capital improvement projects. The corporation urges the OEK’s understanding and support in addressing these critical matters to ensure the continued provision of essential utility services to the people of Palau.