18 Nov 2010

More warnings of grim results from Northern Marianas power supplier

7:35 pm on 18 November 2010

Due to last month's government shutdown in the Northern Marianas and the recent work-hour cuts for government workers, the Commonwealth Utilities Corporation is expecting a severe drop in its revenue this fiscal year.

The utility company's chief financial officer, Chuck Warren, said he has no doubt the territory's poor economic conditions will continue for at least the next two years, adversely impacting their operations.

He says underfunding of the CUC in the hope that the economic situation will improve in the near future would only exacerbate the problems.

Last week the utility filed a petition to increase its base electricity rate to address a projected loss of more than five million US dollars this fiscal year.