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The History of The Water & Sewerage Corporation of The Bahamas

From the early 1600’s the only sources of fresh water supply in New Providence have been the rainwater collected from the roofs of houses and stored in tanks, and the use of open- dug wells. These have served the needs of the people for several generations, but have not always been found satisfactory as in years of drought, great hardships prevailed. With the growth of Nassau from a small fishing and sponging village of a few hundred persons in the early part of the nineteenth century, to a winter resort noted for its serene climate, the need for modern sanitary conditions became imperative. The first attempt to establish a piped water supply on New Providence Island submitted in May 1913. In this year, the firm of HOWARD HUMPHREYS AND SONS (London Consulting Engineers) was commissioned to investigate and report on the possibilities of determining a source of water on the island. The report was submitted in May 1914, but due to the World War and the adverse condition of the Colony’s finances at that time, the scheme could not be implemented. The inhabitants, therefore, continued to draw their water supply from individual communal open wells, and rainwater tanks. Typhoid fever in a mild form had been prevalent in Nassau for many years to a minor degree, but during the winter season of 1924-25, it assumed more alarming proportions, some of the visitors actually becoming victims to the fever. The Government then, on the very strong recommendations of the Chief Medical Officer, decided seriously to consider a fresh water supply scheme together with a modern drainage and sewerage scheme for the City of Nassau. Howard Humphrey’s and Sons were again engaged as consultants and after making further investigations with regard to the Source of Water Supply, submitted in June 1925 a supplementary report which contained slight modifications to the 1914 report. The Humphrey’s Report was well received by the Bahamas Government, and in March 1927, Mr. A.L.B. Plunkett of State for the Colonies was hired as Engineer for the preparation and carrying out of the City of Nassau Water Supply Scheme. By the end of 1927, the inhabitants of the islands of New Providence were drawing water from the Blue Hill Waterworks. With the prerequisites now fulfilled, the way was clear to provide the City with its water supply and Sewerage systems. On March 23 rd 1928, the following Bill was assented to by His Excellency the Governor (having passed the House of Assembly and Legislative Council): “A Bill to provide a Water Supply and Water-borne Sewerage System for the City of Nassau and its Suburbs” The municipal water system consisted of a well field and pumping station at Blue Hills and a high level and low level storage tank at Fort Fincastle. The well field (60 acres) was outfitted with bore holed with trenches and air pumps powered by windmills. Water from the well was delivered to the City by gravity from the 360,000 gallon low level tanks (Fincastle) and the houses along the high ridge, which runs east from the city, were served from the 80,000 gallon high level tank (Fincastle Tower).

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This supply was satisfactory for a few years and then a combination of extreme drought and over pumping diminished the fresh water body and the well field became progressively more saline until it finally had to be abandoned in 1937. The area has remained saline to date; some areas have not fully recovered. 1938 In 1938, the Prospect Waterworks became the primary source of supply when the Blue Hills supply was abandoned due to over pumping and consequent saltwater contamination. The Prospect area is located on a broad ridge about 3 miles west of the City. Approximately 180-200 acres were developed – mainly with deep well windmills (later replaced with electric drive). Storage facilities for 240,000 gallons were provided and an 8-inch pumping main was laid connecting the Prospect Works with the Fort tanks. 1943 Five years later, the influx of World War II military (Air Force) personnel brought about increased demands on the supply so that additional water sources had to be located. In 1943, the Per palls Waterworks (212 acres) was developed. Per palls, located about 1 ½ miles east of the Prospect area lies at the base of a ridge on low rather than flat ground. Development was a combination of trenches and bore holes. Both windmill and electrically driven pumps were used. Water from Per palls was pumped directly into the city distribution system. Presently, the water from this area is pumped to Prospect Station via 6-inch connection. 1951 Additional system growth after the war and development of Windsor Air Field necessitated the development of the Windsor well field in 1951. This field is located adjacent to and partially within the confines of the Windsor International Airport. The Windsor Waterworks consisted of approximately 400 acres and was developed by a combination of trenches and bore holes. In addition, low lying water logged areas were harnessed for water supply during the rainy season using portable diesel and gasoline-driven pumps. All of the permanent pumping facilities were powered by compressed air. Water from the Windsor area was conveyed to Prospect Station via a 7-inch cast-iron main. 1956 In 1956, when additional water was needed, Southwest Waterworks was started. This area is located directly south of Windsor Field and is about 12 miles from Nassau. The initial development included 52 windmills on six well spiders, a 200,000-gallon concrete storage tank and pump house. Water from this development which was rated at 150,000 gallons per day, was pumped about 9 miles to Blue Hills low level tanks via an 8 inch delivery main. In 1957, further steps were taken to extend the Southwest Waterworks facilities. A total of 80 bore holes equipped with “Flamingo” type compressed air pumps with a rated capacity of 72,000 gallons per day were installed.

3 1960s With further system growth and failure of the initial plant at Clifton Pier in1960/61, a third increment was developed in the Southwest in 1961. This consisted of 88 well spiders, each equipped with electrically driven screw pumps. Rated output of this extension was 430,000 gallons per day and delivered to Southwest Station via a 10 inch main. In 1963, a fourth increment to Southwest Station via 10 inch main. In 1963, a fourth increment to Southwest Waterworks was started due to rising demand and the unreliability of the distillation plant, on the east side of Coral Harbor Road, just north of Adelaide Road (better known as Eastern Extension). This area consisted of 30 twin trenches and 58 well spiders. Each unit was equipped with electrically operated centrifugal pump which delivered approximately 300,00 gallons per day of water through 10-inch main to the Southwest Pump Station. In addition to the extensions at Southwest Waterworks in 1963, another development by a private contractor on government land located just west of Carmichael Road was started. This 210 acres area, known as Cousins, was fully developed in 1964 with units of eight wells each rated at 56,000 gallons per unit. Following that in 1968, Southwest One and Southwest Two were developed using boreholes and trenches covering approximately 400 and 300 hundred acres respectively. Southwest One was expansion of the Southwest field, and Southwest Two was an expansion of the Cousins area. In addition to withdrawal areas owned by Bahamas Water & Sewerage Corporation (W&SC), there were two major privately owned supplies from which W&SC purchased bulk supplement supplies. These were the 2,000-acre trench system of New Providence Development Company constructed in 1967 and the 250-acre borehole system developed in 1963 at Coral Harbour. Initially, the New Providence Development Company was under a 13-year agreement with Government to supply water from their lands in the west of the Island to the storage tanks at the Windsor Pumping Station. To date, bulk water is still purchased from New Providence Development Company. In addition to groundwater, other sources of potable water have been used with varying degrees of success. A distillation plant was constructed during 1958-1959 at Clifton Pier to produce 1 million gallons of water per day. The works included under a loan agreement covered the laying of 21 miles of pipes (21:18”,16”,12”,and 8” pipes) along Adelaide/Carmichael road, 3 million gallons storage tanks at Blue Hills Ridge, pumping station and treatment plant construction. The first distilled water was available in 1960. The original distilling equipment installed during 1958, failed to produce the contracted amount of water. It was, therefore, replaced by a new type of flash evaporator (MSF: Multi-stage flash evaporation desalination plant), which commenced erratic operation in July 1962 at the Clifton Pier Power Station. Considerable difficulties were again experienced and the specified output of 1.2 million gallons per day was never achieved for more than a few days at a time. During 1968, a desalination Engineer appointed by Government carried out extensive remedial work to the MSF desalination plant. The cost of operation was very high due to excessive maintenance and repair needs. During 1978the Blue Hills MSF plant was abandoned.

4 1970s Tenders for a new 2 million gallons per day desalination plant to be sited at Blue Hills were received in late 1968. The work on the new two million gallon per day desalination plant constructed in conjunction with the Blue Hills Power Station adjacent to the Blue Hills Waterworks was completed in 1971. This plant was commissioned in 1972 and showed some improvement over the former MSF plants. However, it later failed to attain its expected yields and by 1978 the Blue Hills MSF plant was abandoned. Early in 1972, arrangements were made with the Bahamas Water Supply Development Company to supply Government with water from their private installation at Coral Harbour. This supply averaged 175,000-gallons per day, and helped to bridge the difficult period before Blue Hills Desalination Plant was commissioned. In 1976, a private entrepreneur sold desalinated water in bulk supply (approx 0.5 million gallon per day) to the Water & Sewerage Corporation. This water was produced from a reverse osmosis plant located near Windsor Field. Lake Killarney was used as the source of a saline water supply for the plant. High operational costs forced a decision to abandon the plant in 1980. The Water & Sewerage Department was in incorporated in 1976, at a time when New Providence was faced with serve water rationing and the demand for water was growing rapidly. The Corporation’s mandate was to provide the people of New Providence with an adequate supply of potable water. This mandate was later extended to include the Family Islands. In February 1977, the Corporation ‘s first General Manager Richard C. Whitehead, a native of Great Britain, who was succeeded by Bahamian engineer E. George Moss who was appointed by the Minister of Works, The Honourable Loftus A. Roker. Over the next 22 years, with the assistance of a number of Boards of Directors and dynamic Executive Management teams Mr. Moss steered the Corporation’s development into a well organized, fully Bahamianized, vibrant utility Corporation. Also in consultation with the World Bank and the Inter-American Development Bank, the management and dedicated employees of Corporation formulated and dedicated employees of Corporation formulated and implemented a number of successful water industry development programmes. Valued at over $110 million, these programmes greatly improved water quality and distribution systems throughout the Islands of The Bahamas. Prior to 1976 the Water & Sewerage department of the Ministry of Works was the Government agency responsible for Water & Sewerage services in the Bahamas. The Water and Sewerage Corporation was formed on July 14 1976 against the background of a limited supply of just over 4 million gallons of water per day for New Providence. There had also been a continuous decline in water delivery services from 1973 onwards. Augmentation of water importation extended. In 1979, with rainfall for the first half of the year falling 30 percent below the average of the previous 20 years, there was reduction in well field output for New Providence. During the year, there was expansion to the Andros Operations as a substantial contract commenced on repairs to the dock at Morgan’s Bluff, Andros. Towards the end of the year a new barge, the “Black Point” was delivered with a greater capacity than the older unit - “ The Mastic Point”.

5 1980/1981 Gradual improvements were made to the production and supply systems with steady improvements being recorded throughout 1980. During the following year, slight decreases in output were recorded due to the reduction of the number of vessels operating out of Andros and also the closing of the reverse osmosis plant. The serious problem of high “unaccounted-for-water” was addressed and this year saw the first attempt at the implementation of a specific leakage control programme introduced through the services of a United Nations consultants. During this period significant investments were being made in the rehabilitation of the downtown sewerage system along Bay Street and final arrangements were made to implement the first Industrial Agreement with the Bahamas Utilities Service Allied Workers Union (BUSAWU), affording employees improved salaries, benefits and working conditions. 1982 1982 marked the beginning of the substantial improvements in well field production for New Providence made possible through extensive well field improvement works which allowed for the first time extraction of almost 3 million gallons per day from the Corporation’s New Providence fields. Shipping reliability improved considerably during this time and by the end of the year, the long history of water rationing had come to an end. Total water supplied during the year averaged almost 5.6MN gallons per day. The completion of the dredging of Morgan’s Bluff was a major contribution to the increase in water importation from Andros. Distribution system expansion was seen through the development of number of private subdivision developments. 1983-85 By the end of December, 1983 total water available for supply had reached 6.4 million gallons per day. This trend continued throughout 1985, but the following year saw a slight decline due to serious drought conditions and mechanical problems with vessels for water importation. This necessitated limited water rationing for some part of the year. Also during 1985, the Corporation began formulating a second major investment programme to improve the water supply and sewerage operations through the rehabilitation of plant and equipment in New Providence and Andros. Furthermore, an internally funded scholarship programme was initiated to aid in the development of Bahamian engineers. Students were assisted in both local and international programmes. 1986 Total production averaged 6.7 million gallons per day in 1986, a modest increase of 1.9% over 1985 due largely to a greater volume of barge supplies from Andros. Rainfall was below average and consequently declining ground water levels and deterioration in water quality occurred. Improvements and expansion of the sewerage system to Elizabeth Estates and Pinewood Gardens resulted in significant increases in sewer connections. More main renewals and extensions were carried out utilizing in-house construction teams and heavy plant. An average of 4 miles per year was accomplished.

6 1987 In 1987, the amount of water abstracted from combined sources decreased slightly. This decrease was attributed to significant reduction in water purchases from New Providence Development Company. A leakage control section worked closely with consultants from the United Kingdom in carrying out comprehensive “unaccounted for water” studied. Construction commenced on a gravity sewer scheme in the Yellow Elder Gardens/Big Pond area to improve sewerage services. A new sewerage treatment plant producing a high effluent was commissioned at Elizabeth Estates. All of these works were focused on improving efficiency and reducing operating expenses. 1988/89 During these two years, total water production increased with a notable improvement in water quality improvement. All pumping stations were fully equipped with chlorination facilities to ensure adequate disinfections of source water. The expansion of the North Andros (phase1) well field, construction of a new sea wall at Morgan’s Bluff, additional shipping capacity (charter of Rio Titan), and laying of a new transmission water main (Harold Road) contributed largely to the improvement of water delivery service to New Providence Consumers. By the end of 1989, construction of the new gravity sewerage system in Yellow Elder Gardens/Big Pond had advanced substantially with more than two-thirds (2/3) of the homes connected to the system, eliminating a major headache for the Corporation. In 1989 The Water & Sewerage Corporation also became responsible for the control, protection and use of water throughout the Commonwealth of The Bahamas instead of only New Providence and North Andros. The Corporation began to study ways and means to improve Customer Services. All Family Island operations and key staff were transferred under the umbrella of the W&SC. 1990 As are result of improved shipping capacity, water importation and consequently total water produced by the Water & Sewerage Corporation exceeded all previous years in 1990. A trunk mains refurbishment project was started in late 1990;’s to significantly upgrade the level of water supply and the equality of service. The strengthened in house construction crews completed over 10 miles of mains renewal and extension works. Having completed the works in Yellow Elder Gardens, resources were diverted to water mains. 1992 The replacement of the Dowdeswell Street sewers was ongoing as well as the construction of a primary treatment facility at Malcolm Park. Shortly following the victory of the FNM Government over the PLP in August 1992, the worst hurricane for decades moved through Central Bahamas. The impact of Hurricane Andrew was devastating in the Eleuthera region and extraordinary measures were taken to restore water supplies to the areas affected. In New Providence the construction of 13,000 feet of water mains took place at a cost of $ 457,000. Despite limited funding several projects were started or completed in Family Islands including Acklins, Andros Grand Bahama, Long Island, Eleuthera Exuma, Abaco, Crooked Island and San Salvador. A $ 965,000 for the rehabilitation of Morgan’s Bluff Dock Face was awarded. In San Salvador work started to increase production from the Cockburn Town well field to meet the demands of Club Med Hotel. A production level of 77,000 gallons per day was available by the end of the year. The Spanish Wells well field was also upgraded and production levels increased by more than 50%.

7 1993 The Corporation concentrated on plant replacement and refurbishment in New Providence and planning for the extension and expansion of water supplies in the Family Islands. In New Providence, seventeen thousand, one hundred and ninety-six (17,196) feet of water mains and sewerage pipes were laid in subdivisions such as East Park, Royal Valley, Vista Marina, Millar Road and Sandilands Village Road. Also, 45,600 feet of old mains were replaced in various areas of New Providence at a cost of $681,000. The downtown sewerage project was completed at a cost of $5.4 millions dollars. The project comprised the construction of the Primary Treatment Facility at Malcolm Park and works on the collection system in the Bay Street and Doweswell Street areas. In The Family Islands the Abaco Interim Water Supply strategy was developed to address some of the water supply shortcomings in Marsh Harbour, Blackwood Village, Cedar Harbour and Sandy Point. Government agreed to provide $1.3 million for these improvements. In San Salvador Phase 1of the Cockburn Town Well field expansion was completed and daily water production from the well field reached 150,000 gallons per day. Also in 1993 Government signed a $ 7.5 million loan agreement with the “Caribbean Development Bank to assist with the financing of the $12.5 million All Eleuthera Water Project, which was designed to improve water supply in Spanish Wells, Harbour Island and North and Central Eleuthera. The Corporation continued it quest for tariff increase in both New Providence and the Family Islands in order to improve its financial position, which had deteriorated due to the lack of a substantial rate increase since 1982. Eleven years later, in October of 1993 an increase in Water and Sewerage rates was granted. 1994 New electronic meter readers were purchased at a cost of $33,565 to replace the obsolete units introduced in 1988. In New Providence some 16,800 ft. of water and sewerage mains were laid in new subdivisions and developments in New Providence such as Circle Palm, Mount Vernon, Lumumba Road and the Queen Elizabeth Sports Center. In addition some 32,000ft of water mains were replaced at a cost of $703,000 in Mckinney Drive, Hampdon Road, Coral Drive, Seaview Drive, Bluehill Road North, Fredrick Street, Woodes Rodgers Wharf, Nassau, Court, parts of Bay Street, Lakeshore Road, Anne’s Street, Chanery Lane and Wright Lane. The old corroded 200,000-gallon water tank in Winton was replaced with a new 625,000.gallon water tank at a cost of $472,000. Also New Providence the contract for the construction of the replacement of the 9,100 feet Yellow Elder Gardens transmission main was awarded to Bill Simmons Construction Equipment Company. The Corporation appointed the consulting firm of GKW Consult of Germany to assist with the strengthening of a proposal submitted to the European Investment Bank for the financing of a Bahamas–wide water development program valued at $34 million. This was also the first major commitment made by the Corporation towards upgrading and expanding water systems in the Family Islands. Cavalier Construction and NH International (Trinidadian) Limited commenced work on the 12$ million Eleuthera Improvement Project, the largest water project ever initiated in a Family Island. Some 2892,331 feet (or 53) of mains were laid by year’s end comprising 60% of the new water mains laid connecting Rolle Town in the east to Farmers Hill in the west. The work was completed in 1994 at a cost o f$ 2.3 million.

8 1995 Improvements and expansions continued in New Providence with some 15,228 feet of water and sewerage force mains being laid in new subdivisions including Mount Vernon and Potter’s Cay Causeway as well as main extensions in Lumumba Road, Hanna Road, Hanna Road and Myers Beach Subdivision. In addition 19,894 feet of mains renewals were completed in New Providence. With the assistance of private contractors, the Corporation completed the replacement of 8,900 feet of 12-inch transmission main on West Bay Street from Chippingham Road to Coral Drive and 9,800 feet of 10-inch distribution main along Yellow Elder Gardens way –leave. The Morgan’s Bluff Dock –face was substantially completed and work commenced on the Septage and Sludge Handling facility off Harold Road. The Corporation invited contractors and interested consortia to submit relevant information to be short-listed to Build, Own and Operate (BOO) Two (2) Million-Gallon Sea-water Reverse Osmosis Desalination for New Providence. Invitations were issued to seven bidders in September 1995 and four bids were received on the closing date in November 1995. As a part of institutional strengthening, a new position of Assistant General Manager, Technical Support Service was filled. In 1995 major progress was made in the implementation of a number of Capital Water Project were completed. Works included the enlargement of well field at the Bogue andTarpum Bay; the extension of transmission mains from Hatchet Bay to Savannah Sound; and the installation of new underwater lines to Spanish Wells and Marsh Harbour Island; Storage capacity was increased in several locations and pumping facilities were upgraded. On mainland Abaco new well fields and storage facilities were developed for the Coopers Town and Cedar Harbour Systems. In Marsh Harbour a new transmission main was installed between the well field and town. Storage was increased by 500,000 gallons and gas chlorination was provided at the well field. A booster pumping station was constructed on the line feeding Pelican Shores and Eastern Shores. Distribution lines were installed in Dundas and Murphy Town and well fields were also electrified in the North. In Little Grand Cay a complete distribution system was installed, including a storage tank at a cost of $370,000. The Moore’s Island well field was electrified and efforts continued to provide metered supplies to all consumers on the island. At Simms, Long Island, Corporation personnel started work on the installations of a distribution system and tie-in to the well field. Matthew Town, Inagua, also received new distribution systems as a part of a major roadway construction. In Grand Bahama, all the small water systems operated by the Water & Sewerage Corporation in the East End were handed over to the Port Authority early in the year and Government provided the Port Authority with $ 120,000 to improve the water system in Sweeting’s Cay. 1996 Throughout the year, the Corporation continued on its quest to rehabilitate and extend its networks in order to improve the service level to new and existing customers. Some 35,100 feet of new water and new sewer force mains were installed in Market Street North, Pine Yard Road, Redland Acres, Saint Thomas Close, Cox Street, and in various new subdivisions and developments both private and Government. In addition some twenty–five thousand (25,000) feet of water mains were renewed at an estimated cost of $676,930. A contract was signed with Bacardi/DeSalco to provide a 2 million gallon per day Reverse Osmosis Plant for New Providence. The Corporation also prepared to implements a major New Providence Supply Improvement and Family Island Expansion Programme. Funding for the New Providence component was secured from the European Investment Bank (E.I.B.) and InterAmerican Development Bank (I.D.B.) was prepared to fund the Engineering Services Contract for the entire programme. By March, Camp Dresser and Mckee (C.D.M.) was selected and awarded the

9 contract. The Corporation’s sewage collection operation was improved substantially with the commissioning of the Septage and Sludge Handling facility off Harold Road. Also in 1996 the Purchase Agreement for the Administrative Building for the Water & Sewerage Corporation was finalized. Phase 1 of necessary renovations was contracted out to Telco Construction at a cost of $280,000 work commenced in December, 996. In October 1996, the Water & Sewerage Corporation hosted the fifth Annual Caribbean Water & Wastewater Conference in New Providence. Over 238 delegates from 26 different countries attended and Mr. E George Moss was awarded a distinguished gold pin for his long and outstanding contributions in the development of the water sector. 1997 A significant milestone was achieved in the Corporation’s history, as for the first time Administration, Customer Services, Finance and Accounting and Family Island Operations were centralized in a single office facility at 87 Thompson Boulevard. The Project Management Unit proceeded with prequalification, bidding and evaluation for the tank refurbishment component of the EIB funded project which resulted in the award of $4.2 MN contract to Motherwell Bridge (UK), in association with BICHAM and ALABACORE (Freeport) to refurbished the interior and exterior of eight steel storage tanks in New Providence with a total capacity of 28 million gallons. Similarly, an award was made to the joint venture of Spiniello (USA), GMD (Mexico) and Waugh Construction (Freeport) in December 1997 for the $ 12.8 MN replacement/refurbishment of over 250,000 feet of pipework in New Providence. The Construction Section was able to complete most of the planned and emergency capital works. Some 43,960 feet of new water mains were laid in a number of government and private subdivisions including Silvercrest, Jasmine Gardens, Tall Pines, Pambra, Diamond West, Smith’s Close, Premier, and Pineview Heights. Transmission mains were extended in the areas of Arawak Cay, Golden Isles Road, Coral Harbour, Cambridge Lane, Marshall Road and Black Point, Exuma. These works were accomplished at a cost of $1,003,080. Furthermore, some 24,000 feet of mains were renewed at an estimated cost of $896,901.30. Funding made available for developing water systems in the Family Islands was limited in 1997. However, some critical needs were addressed. In San Salvador work commenced on the expansion of the Cockburn Town water system to serve the community of North Victoria Hill. New wells were drilled and a new pumping station and storage tank was installed in an effort to reduce rusty water problems. A new water supply source was also developed to support a tanker service for delivery of water to areas of Long Island with no piped water supply. In North Acklins access tracks were cut in the St. Helena area and exploratory drilling was carried out to identify a water resource, which would be able to supply Lovely Bay and Chesters. During the annual Water Week in May, Prime Minister commissioned the All Eleuthera Water supply Project the Rt. Honorable Hubert Ingraham. The ceremony was a major event which took place in Governor’s Harbour and was attended by the Deputy Prime Minister and many other politicians and senior Government Officials including the Corporation’s Board of Directors.

10 1998 In 1998 Michael Barnett succeeded Fredrik Gottlieb as chairman of the Corporation’s Board of Directors. The most significant achievement for the year was the commissioning of the2.0 Million Imperial gallons per day reverse osmosis plant at Windsor, which increased the total amount of water production for New Providence to 8 Million gallons per day. This plant was commissioned under a Build Own Operate Agreement executed between the Corporation and Waterfield Company Limited. This water supply significantly improved the quality and reliability of water provided by the Corporation and allowed for a reduction in abstraction of groundwater from the implementation of the New Providence components of the European Investment Bank funded loan program. The first of two contracts awarded under the NP component was successfully completed on schedule and under budget by December 1998. This US $ 4.2 Million Dollar contract was executed by Motherwell Bridge Projects Ltd. (UK) with substantial subcontracting to the three Bahamian firms based in Freeport, Grand Bahama, namely BHICAM, United Caribbean Construction, and ALBACORE. The second contract was formally signed in early 1998 for US $1.2 Million and involved the refurbishment and replacement of over 40 miles of pipe work in New Providence. Following a User Needs Assessment Study by PricewaterhouseCoopers, the Corporation solicited bids for a new integrated computer hardware and software information system with the objective of improving customer service and financial reporting. In order to meet the growing demand in the Family Islands, the Corporation began the process of soliciting bids and negotiations with private contractors to provide desalinated water under Build Own Operate Agreement. 1999 The year 1999 was marked by several major events; impending changes in the regulatory environment had an early impact on the Corporation as Mr. E. George Moss, who had served as General Manager for 22 years was seconded to the newly created Public Utilities Commission in March 1999. Messrs. Richard W. Greene and Godfrey Sherman became Acting General Manager and Acting Deputy General Manager respectively. To meet changing organizational needs, the Corporation also undertook a restructuring exercise. Executive portfolios were strategically realigned, a new Customer Service Department was created and three new Assistant General Managers joined the executive management team. This was a first step toward a broader restructuring exercise at other levels. The Corporation successfully petitioned for tariff increases both in New Providence and the Family Islands. These increases, which came to effect on March 1st, 1999, should have improved the financial viability of the organization. With the spectre of the potential “millennium bug” looming, a comprehensive review of financial and operational systems was undertaken. It was determined that the greatest potential Y2K threat arose from financial and customer information systems which needed replacement. A contract was awarded to H.T.E. Inc., a Florida based firm, for supply and installation of a fully integrated enterprise-wide suite of software applications. The resulting $2.1 million project greatly enhanced the spread of technology throughout the Corporation. The aggressive 12-month implementation timetable required careful planning; coordination and staff training, by ultimately all critical portions were successfully commissioned by year-end. The IDB loan for the Family Island Water Project was signed in March 1999. Bids for the construction work in Abaco, Exuma, and (South) Eleuthera were solicited in May 1999. The New Providence Mains project was substantially completed in July 1999 and all new and refurbished mains were commissioned. This involved approximately 40 miles of water mains and resulted in service improvements throughout the system. In addition, the Construction section laid some 29,365 feet of water sewerage force-mains in New Providence and an additional 13,670 feet of mains were renewed.

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Projects completed in the Family Island included expansion of the well field at the Bluff, South Andros; the installation of additional wells in Winding Bay well field; an upgrade of the main well field in Great Exuma; replacement of 11,000 feet of distribution mains between Pirate’s Well and Betsy Bay, Mayaguana; and the electrification of well fields in Congo Town and Acklins. Reverse Osmosis Plant contract for Staniel Cay, Exuma under “B.O.O” (Buy/Own/Operate) terms. The R.O. Plant in Black Point is designed to produce 10,000 gallons per day. Bids were also received for an R.O. Plant for Lovely Bay and Chesters, Acklins. In mid September Hurricane Floyd struck The Bahamas, causing massive damage to the country. Water infrastructure in the Family Islands was hardest hit. The Corporation actively participated in the national disaster recovery effort in the aftermath. 2000-2001 The focus on institutional strengthening and strategic planning continued with further restructuring and organization of The Corporation to meet the present and future needs of The Corporation. Human Resources development was also emphasized through the provision of onshore and offshore training opportunities and through promotion exercises. Executive management also held a series of meetings with the Public Utilities Commission in order to prepare for new regulations governing public utilities. The Corporation completed the implementation of a $1.9 million dollar Y2K Compliant Fully Integrated Customer Information System and Financial Information System. The purpose of the new system is to improve the internal efficiency and effectiveness of the organization and improve the Corporation’s ability to serve its customers in New Providence, Abaco, Exuma and Eleuthera initially and other islands eventually. In New Providence the Corporation’s ongoing mains renewal program continued to replace corroded pipe work as needed in areas throughout the island. Water mains were also extended to new developments and to areas without a municipal water supply. Furthermore, improvements were made to supply areas of the Winton Pumping Station and the Blue Hill High Level Facility. The Corporation also installed emergency standby power at its headquarters and Prospect Pumping Station to improve the reliability of operations. In September 2000 work commenced on the $13 Million Inter-American Development Bank (IDB) funded Family Island Improvement Water Supply Project. In its entirety this project comprised the installation of approximately 83 miles of pipe, 500 wells, 700 service connections, 7 distributionpumping stations, and 1.0 million gallons of storage on the islands of Abaco, Exuma and South Eleuthera. The works were completed by the end of 2001 and increased water production throughout the islands by more than a million imperial gallons per day will immediate benefits to the following settlements; Treasure Cay, Marsh Harbour, Casuarina Point and Crossing Rocks in Abaco; Waterford, Deep Creek, Green Castle and Wemyss Bight in Eleuthera, Rolle Town in the south. Additional works in the Family Islands included a new well field ground water supply system for Chesters and Lovely Bay Acklins. Also, in Central Long Island water mains have been extended North and South of Deadman’s Cay to make water available to new customers in this area. In Andros, the Managrove Cay well field is undergoing roadwork construction to make this area more accessible to maintenance crews.

12 2005 In April 2005 a bid to design, build, and operate a new seawater desalination plant in the Blue Hills plant was accepted by the Corporation. As part of the contract, Consolidated Water Company was also to provide engineering services and equipment to reduce the amount of Non-Revenue Water (NRW)(i.e. 'water lost' due to leakage, meter inaccuracy,etc) throughout the Water and Sewerage Corporation's pipeline distribution system on New Providence. The Blue Hills contract is for twenty (20) years, or until thirty-five (35) billion US gallons of water have been supplied to the Water and Sewerage Corporation. The plant was completed and commissioned in 2006. Its full production capacity being 7.2 million US gallons of drinking water per day. The NRW obligation was achieved in 2007. As the Corporation moves forward it is now in the process of developing a new Corporate Business Plan with IDB assistance, and it is also finalizing the terms and conditions of a contact with a company with world-recognized expertise to deal with the NRW issue which is an essential undertaking to ensure the long term economic viability of the Corporation. Plans are also being prepared to finalize a Capital Works Development Plan which will provide potable water to every community in the Family Islands.