Community service obligation

Letters

I ENQUIRE about community service obligation on subsidising cost of basic utilities so it’s affordable for a cross-section of consumers.
Since Independence, successive governments have failed to define government functions and business in the domestic market.
It is mandatory for the State to provide some products and services because they are non-profitable.
In other words the simple law of supply and demand does not work.
It would be an unprofitable venture and becomes a State responsibility to provide that service.
Against that standpoint, it is the obligation of the State to provide essential services to the public.
Some of its State-owned enterprises have a duty to subside or apply fixed yearly rates to nonprofit making bodies or public institutions.
These include schools and hospitals.
Boards fail when they are looking at perks and privileges and over charge users to cover inefficiencies.
They then pay dividends and get undeserved praise from the Treasurer or the PM.
All hell has broken loose with the user-pay policy and inflation sky-high.

Observer
NCD