Lower house begins discussion of Enacal reform

- Thursday, April 14, 2011

Lower house begins discussion of Enacal reform

The infrastructure and public services committee of Nicaragua's lower house has begun a consultation process to reform a fundamental law governing national water and sewage utility Enacal to improve the quality of service and ensure fair tariffs.

"We're worried about Enacal's deficient service, because most households in the country lack potable water service, and water rates are high, so we're looking for solutions to the problem with the current law," said committee VP Edwin Castro.

One of the proposed modifications is to adjust water rates based on consumption and to subsidize rates for families consuming less than 20m3/month. If a household exceeds this amount, they will pay 25% of the additional value per cubic meter, the congressional website reported.

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Nicaragua's potable water sector has an estimated loss rate of 52% due to unpaid water usage and poor infrastructure, BNamericas reported previously.