In addition to the periodic power and water outages, recent developments at utilities provider GEBE (see related story) are a source of concern. The entire three-person management was given a contract extension of only six months per November 1.
Chief Executive Officer Kenrick Chittick, Chief Operations Officer Veronica Jansen-Webster and Chief Financial Officer Iris Arrindell were subsequently warned that not signing it meant they could no longer function as directors because their former three-year contracts ended on October 31. They were even denied access as their badges and company email accounts had been blocked, while Supervisory Board Chairman Bienvenido Richardson also informed them that Mr. Zagers had been appointed to represent GEBE in the absence of management.
The trio received the draft contract only Friday afternoon and indicated needing time study the content. As it turned out, certain benefits in the first contract being extended had been omitted and this had to be rectified with the intervention of the responsible minister before they could ultimately sign an extension Sunday evening, although there is apparently still a pending issue about the payment of performance bonuses.
The contract’s short duration nevertheless raises questions. Is it the intention of the supervisory board and shareholder’s representative to recruit and install an entirely new team to head this obviously essential company that is not only government-owned but has a monopoly to produce the water and electricity on which all of St. Maarten and its tourism strongly depend? Would it then not be wiser to phase out the current directors rather than replace them all at once?
Adding to the confusion is that Chittick was suspended for a week effective October 22, according to him without any grounds. He was getting legal advice on how to handle the matter going forward and preferred not to go into details, but the whole situation creates a messy impression.
Mind you, GEBE is still recovering from the damage Hurricane Irma inflicted on its streetlights, power grid, water storage and distribution network, equipment, buildings, etc., some of it to be financed from the Dutch-sponsored Trust Fund managed by the World Bank. At the same time, the company is having to take on huge debts for new engines to ensure a reliable supply of utilities, while investments in alternative energy are long overdue.
The responsible minister and supervisory board would do well to tread with caution when it comes to “upsetting the apple cart” at GEBE, as the implications could be serious and far-reaching.
