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‘Don’t sell all public companies’
Publish Date: Mar 18, 2010
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  • By Cyprian Musoke

    THE National Water and Sewerage Corporation boss, Dr. William Muhairwe, has appealed to the Government not to sell off all public utility companies.

    He argued that with good management, sound policies and less political interference, public firms can be turned into profit-making entities.

    “The overall picture of public enterprises has been negative, with most people thinking they cannot work and that they should all be sold off to avoid wasting tax-payers’ money. But if these firms are run transparently with good management policies and less political interference, there is no reason they cannot be profitable,” he explained.

    Muhairwe was addressing chief executive officers and managing directors of private and state-owned African water companies at the 15th African international water congress at Speke Resort Munyonyo on Wednesday. The majority feeling, he added, was that nothing in Africa works due to corruption and political meddling, a notion he disputed.

    Giving the example of his success with Uganda’s water utility company, Muhairwe said managers should be steadfast to ward off political interference.

    There has been public outcry ever since the Government privatised of some public firms like the former Uganda Electricity Board, Uganda Commercial Bank (now Stanbic), the Uganda Railways Corporation and the Uganda Posts and Telecommunications. The water utility is one of the few firms that were not sold.

    The chief executives complained about political interference from especially mayors and councillors who bring relatives for employment, and the incessant sacking of managers, which prevents continuity.

    “We should first of all be exemplary. If we are employing our own cousins and relatives, there is no reason why politicians will not send us their own,” Muhairwe said, adding that in Uganda there was little political interference or clashes between policy makers and implementers.

    He pointed out that at national water, they had reduced water wastage from 70% to below 37%, and decreased the employee-connection ratio to seven workers per 1,000 connections.

    This year, he added, they had posted sh15b profits after taxes, even with thefts, and the fact that they had to extend their pipes to tap the receding levels of Lake Victoria.

    Speaking at the function, energy minister, Hillary Onek, said the President had staked a sh400m award for any scientist who will make a major breakthrough in water technology engineering. The conference that attracted over 1,000 delegates from across Africa and the globe.

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