Guam - Just as the Port Authority of Guam is hoping the Public Utilities Commission will formally entertain its interim tariff increase of 5.65% later this month, the work doesn't stop there. General manager Joanne Brown says should the PUC address the matter at its next meeting and do so in favor, the port will go back to the PUC and petition for the next five years.
"But that period of time essentially encompasses the same tariff rate increase, the only difference is the amount is you're looking at from 2014 to 2020 and by 2020 we're actually looking at a decrease to 3.95% of exactly the same items that we're increasing the rates on," he said.
Brown says the interim tariff increase along with the proposal for the next five years shouldn't come as a surprise as it has been discussed during numerous oversight hearings with the Guam Legislature in the past year. The interim tariff increase is primarily for the service life extension loan whereas the five-year increase will address the organic growth happening at the Port that involves reinvestment back into the port's aged facilities, maintenance and replacement of equipment.