ITS TIME TO ACT

Guys;

Lets move this thing on...This blog has been up for nerly a year with limited success. The cry is still out there for a 'VIBRANT CONSUMER ORGANIZATION". Two of us from this blog are making another effort to do so. YOU MUST PLAY YOUR PART.. Click on the link and fill out the membership form and send it back to us.

I am sure that you too have been privy to the poor, bad, non existent customer service in this country as well as the ridiculously high prices.

The consumer is the being that could have some type of effect on both..

Lets do it....Go now to the link and fill in the form and send it back. We will then call a meeting in November with everyone that has signed up and go from there.

Its up to you the consumer now.

THANKS FOR FILLING OUT THE FORM..IT WILL BE WORTH IT
http://www.igloo.org/bangoonline/download-nocache/Library/consumer/bardosconsumerswatch/bcwmembershipformdoc

Electricity rates and the FTC

When David stood up to Golliath he had pebbles and a sling shot. But against BL&P which had two years to prepare a case the FTC has taken away both the sling shot and pebbles from the consumer. An informed review of the deadlines for the rate hearing shows that Intervenors have very tight deadlines and in some cases a few weeks to respond. Contrary to he one-way flow of information readers of this blog would be aware that the bigget costs are to be borne by those who can least afford it while Large Power are bearing the least increase overall.
Dr. Marion Williams made the point recently that in these times a safety net should be provided for the least who can afford it while those who can should bear a larger burden. The BL&P application does not reflect this. The largest increase is borne by the residential consumer, the next largest increase is borne by the small business and NGO, Churches etc and the Large Power users are to bear the least increase.
Is this fair?
And why is BL&P changing from an across the board rate proposal to an "inclining block". Would an across the board increase not be easier for a consumer to budget for? Why is the BL&P using a test year of 2008 when this was the year when the global energy crisis was at its highest. Would the application not be inflated against the interests of the consumer as a result?
What do you think?
Hallam Hope
caritel@hallamhope.com

PRINTER WARRANTY USELESS

HERE IS A LETTER FROM A CONSUMER WHO HAS HAD HORRORS TRYING TO GET WHAT HE THOUGHT WAS A LEGAL WARRANTY PUT INTO ACTION...

Mr. Mark HurdChairman of the Board,
CEO & President of Hewlett-Packard
Dear Sir,
On 25th April I bought a CP1515n colour laser printer from On Line Consultancies here in Barbados SN ********** FOR $*** Bds. After a short time it began to malfunction, I returned it to the retailers on 25th June, they have a 30 day guarantee, then its down to you. A case # was eventually procured & I was told to call 1 800 711 2884 so I could arrange to have the replacement printer sent by UPS within two days. Since then I have spent approximately 13 hours on the phone to HP trying to be put through to the right department, but as yet no luck, I have been put through to people in Canada, US, & Mexico, none of which can help me as they can’t ship to the Caribbean. Your staff at the Caribbean/Latin America # either have the wrong information/not trained/or what? you tell me, I’m at a total loss as to what to do next.
A case manager I was mistakenly put through to in the US, Myrna Sweet has emailed your Head Office, she hasn’t had a reply either, she also called the Caribbean ‘Solution Centre’ & was put through to the wrong people, this happened again this week with someone else from HP who tried to help, if HP staff can’t be put through to the right HP department what hope do I have?
Your agents here in Barbados DC Office People have also been emailing you on my behalf, no reply to their e mails. Meanwhile my tiny home based business is in trouble because of your total lack of care & efficiency. I now HAVE to replace this printer this week, which means I will have to purchase another one, NOT HP, that’s for sure.
If a human being could reply to this email & not an automated response telling me I have to contact HP on 1 800 711 2884 I would be grateful. Then we can discuss my refund rather than replacement of this product. Please also note that people in ‘3rd world’ & ‘developing’ countries are not stupid & are tired of International Companies such as yours sending us second rate products, everyone deserves the same service & commitment wherever they reside.
I will forward a copy of this email to relevant people here, to the media, numerous anti HP Facebook pages, Barbados Free Press & email contacts.
Looking forward to your reply

Consumer

Water rate increases

Water rate woes
The analytical piece by Albert Brandford on higher water rates in the Sunday Sun of July 5th is a "must read" for all citizens.
It's much more than another excellent mix of analysis, research and fearless conclusions.
While Barbadians, particularly those in the lower income brackets, are burdened by a second increase inside 10 years, nothing is being done to reform a woefully inefficient system. Hence, if I understand his article correctly, unjustifiable cost is being dumped on the backs of consumers.
Add this to increasing energy costs, gasolene etc, the possibility of higher electricity rates in 2009 and the almost certainty of higher telephone rates when the Price Cap freeze which some of us worked hard on, ends at year-end, with an expected four per cent hike in January 2010 and we have a picture which is grim for the ordinary consumer and small business person.
What formula and empirical analysis were used to arise at another burden of water rates?
When last has a public, audited account been made available which could reveal inefficencies which even staff of the Barbados Water Authority acknowledge?

Hallam Hope
caritel@hallamhope.com

FTC and inadequate time Part 2

Well I tried.
I wrote the Fair Trading Commission this week and protested against what I considered to be inadequate time for prospective Intervenors in the electricity rate hearing to apply for status and at the same time require that interrogatories be submitted along with the details about why they should be granted such status.
I reminded the FTC that the application was 700-plus pages and it was unlikely that prospective Intervenors would have had time to assemble experts, study the case and formalise pertinent questions in the time allowed.
The FTC responded in a letter signed by its acting General Legal Counsel by citing various items of legislation under which it operates but did not respond to the substantive points raised that included the advantage provided to the applicant and disadvantage to prospective Intervenor. It said it wanted to get an understanding of the areas of the application that persons were most concerned about. And it stated that further interrogatories could be submitted. It noted that persons have been given six weeks to submit their letters of intervention.
But there was no response to my argument that the time was inadequate. How does the FTC expect that within six weeks persons would have studied the 700-plus pages along with their experts in engineering, economics and chartered accountancy and come up with an indication of areas they "are most concerned about" unless they are given adequate time. I indicated that I was aware of an organisation that had started early but had not had time to identify experts to study the 700-plus pages - even at this time.
I have also made this complaint in other matters before the Commission. But one does not need to be told that you are butting your head against a stone wall.
I however have a hard head so I will keep butting.

Hallam Hope
caritel@hallamhope.com
(246) 822-1414

FTC offers Inadequate time for consumers

There were two disturbing developments recently where the question may be raised about the consideration the Fair Trading Commission has for consumers.
CARITEL, my private consultancy, is taking part in the Reference Interconnect Offer (see earlier posts for background). We were given one week to sudy various documents in detail, conduct additional research and prepare and send a follow-up submission to the FTC as it relates to new arguments.
We protested as we did in the first submission that this was inadequate and a month was requested. A RIO is a highly granular proceeding, requiring regional and international research as well as correspondence with contacts such as regulators elsewhere. The issues are quite wide and therefore require considerable time to investigate and respond to arguments, in this case made by Cable & Wireless. Cable & Wireless has an entire department and regional staff to deal with such matters.
Well, the FTC said you have another week in an email sent minutes before the close of business Friday, the deadline for the actual follow-up submission. I had written the Commission the Wednesday since time was needed to read the documents from Cable & Wireless (LIME), Digicel, TeleBarbados and Blue Communications and study the implications.
Another matter of even greater concern has to do with the rate application by the electricity company.
If one reads the advertisement from the FTC reminding consumers that they have until June 25th to indicate a desire to be granted Intervenor status, of concern is Section 2. which states "Any written questions (interrogatories) and the supporting documentation must be included in the letter of intevention.
The key word here is "must".
This is both unprecedented, places undue burden on consumers interested in applying for Intervenor status, provides the applicant with an unfair advantage and runs contrary to a fair and reasonable process.
In the previous rate hearing, the application dealt with an application for Intervenorn status and nothing else. Subsequently, the matter of interrogatories was raised.
The rate application is 700-plus pages and is available only on a website or at the offices of the FTC and applicant for reading only. There is no provision for a hard copy to be made available to any interested party so one could study it at one's leisure.
And it is also an extremely detailed matter. How can one possibly assemble a team, study in detail the 700-plus pages and have a chance of offering a thorough set of questions (interogatories)?
Again, the FTC is being extremely unreasonable to consumers.

Hallam Hope
(246) 822-1414
caritel@hallamhope.com

Reference Interconnect Offer and consumers

A Reference Interconnection Offer might not mean a whole lot to many people but it can have a significant impact on new services and the extent to which there is competition in communications.
LIME is at the centre of a RIO consultation and a series of documents on services such as overseas calling. Companies have to interconnect so that customers of one company may communicate with those of another, for example Digicel, TeleBarbados, LIME and Blue Communications, which is offering a competitive long distance card to make calls.
In addition, the new charges could also relate to new services, since they also involve interconnection and payments between these companies to terminate calls.
Essentially, LIME is trying to get the best deal for itself while other parties want to ensure that the decisions taken by the Fair Trading Commission do not disadvantage them financially and their ability to compete and offer better rates where possible.
In March the FTC received submissions in response to LIME’s proposals from my business consultancy, CARITEL, TeleBarbados, Digicel and Blue Communications.
Well, on Friday we all received what was submitted by the parties as well as the responses of LIME.
A public consultation will be held on June 19th when only these parties will have a chance to re-iterate their positions, provide any additional information on the issues raised or raise new related issues.
In the case of the latter the Commission has given all parties until June 5th, a day over one week, to provide a written summary and submit to all parties.
Now if this isn’t highly unreasonable I don’t know what is.
We are expected in our case with limited resources to read all the documents, do research and respond by then.
But this is how the Fair Trading Commission goes about its business while refusing to provide a lot of basic information when it is requested to do so.

Hallam Hope
caritel@hallamhope.com
(246) 822-1414

Electricity rates update

An application for increased electricy rates has been made to the Fair Trading Commission which proposes the highest increase for domestic consumers.
It is proposed that consumers using 50 kilowatts monthly (at the bottom of the scale) would pay an increase of $3.47 and those at the top using 500 kWh would pay an additional $11.04. In between there are proposed rates for citizens using 100 kWh ($3.50), 150 kWh ($8.46), 200 kWh ($8.83), 300 kWh ($9.57) and 400 kWh ($10.30).
The company has contended that businesses have been paying a greater share of the cost of providing electricity and is seeking to adjust this so domestic consumers pay a larger share than they have in the past.
As a result the power company is proposing to increase the Rate of Return it makes from the Domestic side of the market from the current 2.58 per cent to 7.82 per cent, which is the single largest increase of the five categories.
So rather than the current return of 4.1 million dollars it is seeking to earn 12.6 million dollars from its application.
The likelihood of an electricity rate increase by October coincides with pending higher telephone rates of four per cent.
Armed with the above information and our electricity bills it is possible to calculate what our new monthly bills would be if the application was accepted without change. This is particularly useful for persons at the bottom of the income ladder such as pensioners.
Hallam Hope
caritel@hallamhope.com

Beware! Banks Prowling for prey at Night

If that cheque can bounce, it will bounce!

A very good friend of mine had an experience that he could not believe. He had a cheque to deposit but needed to write a cheque to pay a bill at Sure Pay that same evening for fear of losing his electricity the next morning. For some reason he tried desperately to get to the bank by 3 p.m. to make the deposit, but failed; like he had a vision.

In his mind he reasoned that the account did not have on sufficient funds for what he wanted but surely to deposit the cheque would have been more than enough because the cheque was for more than what he wanted. He continued to reason that if he wrote the cheque and he could get to the bank at 8 a.m. the next morning and make the deposit, all will be fine. So said, so done.

Five days later, he got a call from Sure Pay saying that his cheque had bounced. Bewildered, he went to his bank to find out how that could happen. The teller at the bank in explaining said when Sure Pay deposited that night, their "night staff" would have received it from the payee's banker and at that time, your account would not have had sufficient funds.

"NIGHT STAFF?" Furthermore, he said, the bank is now charging a penalty of $50 per bounced cheque. With regards this charge for not sufficient funds, it is a mechanism for the bank to steal from its customers. As my friend explained, they took out the money as if it was their account, but what is worse, although the clerk argued with him that when he opened the account he would have agreed to all this, the point must be made that previously it was $25-$30 for a bounced cheque and the bank raised it without notifying him.

It means that the bank, not only took his money but increased what they took and surely this cannot be right. I have argued and will probably argue in a court of law very soon, that this practice is nothing more than breaking and entering; highly unethical by legal and moral standards. It should be that if you owe the bank money, just like any business should write you an invoice and give you time to pay so you can budget... but to just go and take the money has the potential of devasting a poor person.

As an addendum, with all the banks employing staff at night, it is unfair to ask for three days to clear a cheque. It should not be more than two days. Fair is Fair. The next pertinent question is, what constitutes a working day if banks are working at night and probably on weekends too?

The Danger of Genetically Modified Foods

Food Security Extinct for Barbados

By now, there are hardly any crops in Barbados that can generate its own seeds. That is because our farmers have been buying their seeds from an imported source and they have been genetically modified.

The worse part is that even if you were a farmer using natural techniques, the pollen from the plants of your neighbour who is using genetically modifies seeds, will modify the seeds of your crops on pollination.

The real danger is that GM seeds do not produce seeds fit for a second crop. You have to keep on buying the seeds from the imported source. What this has done, is put us at the mercy of seed producers. We can no longer grow plants and save the seeds for the next crop. They either won't grow or give very slender yields.

Below is a video of what is happening to farmers in India. They are committing suicide as a result of the complexities arising from the problem.



URL Link: http://www.youtube.com/watch?v=Av6dx9yNiCA&feature=player_embedded

LIME Rate Hearing Overdue

Reduce Telephone Rates
This is a call on the Political Directorate to do something about the telephone rates. It seems a serious contradiction that as we speak of economic recession and of reduction of prices to the consumer, one company is allowed to continue with not just high rates, but unreasonable rates to the consumer.

It is our contention that the existing rates for land lines is prevailing against Sections 10 - 14 of the Utilities Regulations Act. Nowhere has the Price Cap Mechanism replaced the legislation governing utility regulation in Barbados; in fact it falls within the scope of the legislation. BANGO in its submission to the FTC with respect to the Review of the Price Cap Mechanism urged the FTC to hold a hearing into the reasonableness of the rate hikes which the telephone company imposed on its customers over a three year period; 2005-2008.

According to the Utilities Regulations Act (URA), the company must show reasonable cause for increases of 71% when in 2005, the same FTC ruled that the company did not require an increase. How could things have changed so drastically? Why was a hearing not prescribed as the method of Review of the Price Cap although all the consumer advocates put up reasonable cases for a hearing? The FTC simply rejected the idea of a hearing and instead held a consultation, but the question remains, does the legislation give the FTC this kind of lattitude?

No! The legislation requires every price hike to be accompanied by a total scrutiny of the company and the company has to show reasonable cause for rate hikes URA Section 10; the burden of proof is on the company URA Section 14.

More important is the provision for review methods prescribed by the URA Section 15 which states as follows:

• 15 (4) In carrying out a review, the Commission shall hold a hearing in accordance with section 33 of the Fair Trading Commission Act.
• 15 (5) At a hearing referred to in subsection (4),
• 15 (5) (a) an interested party is entitled to appear in person or be represented by an attorney-at-law; and
• 15 (5) (b) a consumer is entitled to be represented by Public Counsel.
• 15 (6) For the purposes of this section “consumer” means a person using a utility service set out in the Schedule for domestic purposes

Whatever the FTC held in 2008 did not amount to a review if we are to follow the legislation quoted above. This company has shed more than half of its employees in Barbados; lowering its costs and reporting super profits. This is a cost which would have been considered in setting the rate, which would now be drastically reduced. If in 2005 a rate hike was not allowed because at the time, the company was earning profits in excess of the statutory 12% limit, it is unquestionable that right now they are further exceeding the statutory limit. The question is, how far past the Statutory Limit is reasonable, when in truth and in fact, the statutory limit is already reasonable?

There is no doubt in our minds that if Cable & Wireless came under the scrutiny of a hearing to Review its application of the Price Cap right now, Bajans could expect a drastic reduction in landline rates. So why is this not happening? This company which claims to love Barbados so much, has our land line rates up in the air; our cell phones rates up in the air; Internet rates up in the air; sending home workers; making super profits and providing a lousy service. When we take all of these factors together, a rate reduction is inevitable.

Three years ago, Barbadian householders were paying an average $28 for communications; basically a landline. The monthly bill to the average consumer of landline, cell phone and internet is now more than three times the total spend on telecommunications than in 2005. Many are in the range of five to ten times what they were spending in 2005.

Yes, it is one thing to say that Internet and cell phones were not so popular back then, the point is that for the consumer to be virtually laden with these costs for developmental technology in order to keep up and compete with the rest of the world, is very unreasonable considering that the company was making 14% in profit on the landlines alone and that the landline is the base or the carrier of these other services. Not only are these services a free ride on the landline, they are at a higher rate than the landline; producing a higher monthly bill to consumers than the landline would.

It is not only ridiculous but totally unreasonable for Barbadians to be saddled with such high telecommunications costs; from Price Cap to the interconnection agreements. This Government has spoken about the ill-effects of monopolies and against such monopolistic practices and we are calling upon the Prime Minster to act in the interests of people of this country and its development and carry out his promise to deal with monopolies by starting with a Review of C&W's application of the PCM, which has dealt a severe inflationary blow to many Barbadian consumers.

Money for bottles 2

Yes, anonymous, kudos to the entrepreneurs for creating a business to make money and improve the environment. But haven't you noticed that we don't have a socialist state where Government does everything. So why the "shame on government" old chap. Government's role is to enable not replace business!!

Electricity rate hearing

If Barbados Light & Power gets an anticipated rate increase this year then we can add, if memory serves me correctly, telephone rate increases of four per cent to those after August. Latest information is that an application from BL&P will be with the Fair Trading Commission within 10 weeks. So consumers do not have much time to galvanise themselves as Intervenors. Some good news though is that at least one organisation is seriously considering approaching the Office of Public Counsel. Although the OPC no longer has the experience of Barry Carrington who has moved on to the Ministry of Energy it does have some resources. And I repeat : this will not be an across the board increase in electricity rates. BL&P has made it clear that it considers that business has been bearirng the burden of electricity rates for consumers and this should change. BL&P has been quite transparent in that it has been meeting with consumer bodies and has been frank in their discussions. Kudos to them but these are still very difficult times, breadwinners are out of work for months, prices are still on the rise and life is harder for the more disadvantaged among us. Many are just holding on.

Electricity rate application

I had cautioned consumers via this blog last year that the electricity rate application would not be a request for a simple rate increase. In other words in a worst case scenario which assumes the company gets everything it wants Barbados Light & Power Co. Ltd consumers would not be paying a five or 10 per cent increase in rates across the board. Confirmation of this has come from none other than Peter Williams, Managing Director of BL&P following the decision by the Fair Trading Commission last month to grant the company all the depreciation rates requested.
So what are the implications?
Well we have to wait on the application in another two months or less to get these details.
Currently, the electricity bill is made up in two ways : a Fuel Adjustment Clause and usage rate. So if the fuel charge goes up and we use more electricity our bills are higher on both accounts.
If I interpret what Mr. Williams has confirmed correctly the company will be seeking a new mechanism or an additional way of charging consumers.
I had assumed, and I speak subject to correction, that some consumers, in a worst case scenario, could end up spending more on fuel adjustment, more if their usage goes up and more under this yet to be revealed mechanism to be revealed.
The looming rate case could have major implications for the cost of service for business and consumers alike, especially small businesses. Electricity is a major cost in any business hence there could be major implications for business as well ordinary consumers with limited incomes, exagerated moreso by the global financial meltdown.
Hallam Hope
caritel@hallamhope.com
(246) 424-0894
(246) 822-1414

We have got to be Kidding

today..Are we serious in this country when it comes to service/

I went into an insurance company to drop off a check to pay a vehicle premium.
First..I had to sign in a book which a security guard showed me, had to write the time I arrived...am not sure whey the guard is there..I deliberately wrote the wrong time and this was not challenged. I then went up the stairs to the receptionist who asked me my name and for the policy number and told me to have a seat. now I was not sure why I was sitting as there was a sign that said cashier and no one was in the line.

After about five minutes a young lady came from the inner office, called my name and told me to follow her. Again , I am dumbfounded but I followed all the same. The young lady then proceeded to type on her computer for about five minutes. She then asked me for the individuals id number and drivers license. I queried why she was asking for information which was already in the file. She informed me that she was updating the information as their system was changed. Now I was dumbfounded again, I told her nothing had changed. She said okay and continued to type. Now I am getting angry because I have spent 20 minutes in this office and I still have my check in my hand. After another five minutes, the young lady told me that she will take me back out where I could pay the cashier!!!!!!!!

At that stage I was winded so all I said was thank you.

I just thought I would share this with you guys for you to see how technologically advanced we are here in this country to the total exclusion of "customer service"

cheers

annette

Consumers and electricity rates

Well, the first step to a rate application by Barbados Light & Power and the prospect of higher electricity rates for consumers has begun.
It takes the form of an application by the company for a change in the way its accounts are prepared for rate hearings and a determination of depreciation rates which would be used in any application.
Given that this initial application has been made at the start of the year and will reportedly last four days it is very conceivable that a rate application will be made afterwards and any possible rate increases become effective in 2009.
This application process comes in a year when life for the consumer is expected to become worst rather than better.
At the time of writing this post BANGO was the only known Intervenor (not even the Office of Public Counsel) has taken an active role in this matter. Olson Robertson, one of the Intervenors in recent hearings, was reportedly making an effort to obtain Intervenor status.
BARCRO's principal spokesperson Malcolm Gibbes-Taitt has reportedly indicated a desire to see the Fair Trading Commission address the issue of remuneration for Intervenors dealt with in a clear and transparent manner.
Against BANGO is pitted the legal might of Sir Henry Forde. The five-member commission is headed by Sir Neville Nicholls, a former president of the Caribbean Development Bank (CDB).
The Fair Trading Commission has come under public and private criticism in recent years by some Intervenors over the way it has conducted its business.
Consumers with expertise in engineering and corporate accountancy are advised to support BANGO (Barbados Association of Non-Governmental Organisations) with their time in the interest of mounting an effective response to the application by the Barbados Light & Power Co. Ltd.

WHEN WILL STARCOM IMPROVE ITS CUSTOMER SERVICE IN THIS AREA

How much longer must we the listeners to VOB put up with what is really a very high level of poor customer service ....................

I am referring to the malfunctioning telephone system on the daily call in programmes...Brasstacks and Tell it like it is.

Whose fault is it..Is it Cable and Wireless? If the fault lies with Cable and Wireless , why has VOB not demanded better service ?

If the problem is with the VOB studios , why have the station's engineers not been able to fix it?
It has been over three years that the moderator is often heard begging the caller "to speak up" or the caller is trying to explain to the moderator that he/she is not hearing.
The result of this terrible service is sometimes a very poor attempt at a conversation between the moderator and caller.

As a matter of fact, sometimes the moderator has the gall to suggest to the caller that he/she is not listening and there is a deliberate moving on to the next caller.

Its really very untidy broadcasting and unfortunately just another example of the Barbados consumer's ability to "put up with anything" for a very long time.

Can we as consumers not insists that the radio station get this technical problem sorted immediately?