A grave financial crisis is affecting the Algerian Water Company (ADE) in Tizi-Ouzou, Algeria. The company's director, Amar Berzoug, has warned that the situation is dire and that citizens need to be aware of the reality of the crisis. The crisis began in part due to over half of the subscribers not paying their bills, particularly since the start of the Hirak movement on February 22.
The financial struggles of ADE have resulted in a delay of over 15 days in paying the salaries of its 1,800 workers. Berzoug explained that this is the first time the company has not paid salaries before the 25th of the month, citing empty coffers as the reason. The company's financial difficulties are further exacerbated by a lack of resources and insufficient personnel.
The ADE is also facing issues with illegal water tapping, which has contributed to its financial woes. The company has debts, including 75 billion centimes owed to Sonelgaz. Berzoug highlighted that the monthly salary bill for ADE in Tizi-Ouzou is 10 billion centimes, making it challenging for the company to continue operating under these conditions.
If the situation persists, with half of the citizens not paying their bills, it is uncertain whether ADE can continue to operate. Berzoug emphasized that the company cannot sustain producing one cubic meter of water at 45 Algerian dinars (DA) and selling it to consumers at 18 DA. This significant loss will likely lead to the collapse of ADE in the medium term.
Berzoug's comments aim to inform citizens about the critical state of ADE, rather than justify the water shortages in some communes of the wilaya. He stressed that citizens who do not pay their bills are penalizing ADE and, indirectly, themselves. The company's financial struggles hinder its ability to address water supply issues.
Berzoug expressed optimism that if the company's finances improve, its services can mitigate the water crisis in the wilaya, which has been ongoing since the start of summer. He acknowledged that while ADE has effectively resolved water supply issues in many areas, much work remains to be done.
The financial struggles of ADE in Tizi-Ouzou highlight the importance of citizens paying their water bills to ensure the company's sustainability and ability to provide essential services. The situation requires attention from both the citizens and the authorities to find a solution and prevent the collapse of this vital public service.
Key points
- 50% of subscribers have not paid their water bills, contributing to ADE's financial crisis.
- The company's 1,800 workers have experienced a delay in salary payments due to financial difficulties.
- ADE's financial struggles may lead to a collapse of the company if the situation does not improve.
