Ratepayers of Los Angeles have contributed with the authorities to conserve water during the drought of California but the reward given to them by the utilities is not appreciating as it is not less than a punishment. Utilities sent them very high bills in response of this cooperation from the residents.
The ratepayers of the city have risen to the consecutive fourth year challenge of a drought that has captured the entire state. But the reason of this strange act of the Los Angeles Department of Water and Power (LADWP) to send the bills with more amount is that the job done by the residents was so good that the revenues of the agency are shortened.
The utility is looking to fill that gap and keeping it in consideration the approval for paying almost $1.80 per month by every customer has been given by the Board of Water and Power Commissioners. This will be implemented from the start of the next year.
Jeff Peltola, the CFO of LADWP told that the agency is short of revenues almost $110 million. Neil Guglielmo who is the DWD budget official admired the performance of the customers and said that he is very pleased and impressed with the way the ratepayers have assisted in conserving the water for the city but the issue arises with the financials of the company.
Customers are not happy with the response of the utility and are very frustrated with that. They are in a situation of paying the penalty for doing something very good. They were expecting the good result from the agency they participated in the conservation plan diligently but they got such reward.
The goals set for the conservation of water by the policymakers was outperformed by the city. It was a call of reducing the use of water by 20 percent till the year 2017 and when the stats of cutbacks of water were seen that were issued by Jerry Brown government official, they tells us that the reduction in water consumption is more than the set target.
The stiffness that is caused between the revenue and consumption of water is making trouble situation for the utilities all over the country. The infrastructure of the water utilities has grown old now and the drought has played a major role to create the tense environment that is why it is very important for them to have more reliable revenue.