(KPL) Farmers, workers and government officials were being burdened by the rapid rise in the cost of living in the 2009-2010 fiscal year. To add to their suffering there was a hike in the price of electricity in 2009, but just recently there was an announcement by the Lao Electricity Company that there will be a replacement of 5% turnover tax by a 10% value added tax (VAT) on the electricity bills.
This company said that based on the government�s announcement that the VAT would be operational in Laos from 1 January 2010, it would then cease to impose the five per cent turnover tax on electricity usage by consumers and replace it with the 10 per cent VAT, an increase of five per cent.
The Lao Electricity Company made a declaration on 5 January that this new ruling would enable the Lao government to collect more revenue.
According to officials who wanted to remain anonymous the five per cent hike would have adverse effects on the finances of the lower income group in the Lao society, farmers, workers and officials.
Government officials and the poor asked why it was that the cost of electricity in Laos should trend upwards and become expensive by Lao standard when it was exporting electricity to other countries and was planning to construct quite a few more dams on the tributary rivers of the Mekong River to generate electricity for export to earn more money.
According to the Tax Department, the introduction of the VAT system would enable Laos to enjoy revenue increase by as much as 1.4 per cent. Laos is one of the least developed countries (LDCs) that has introduced the VAT system and in doing so it has joined the ranks of 130 countries in the world to do so.
Showing posts with label Billing system. Show all posts
Showing posts with label Billing system. Show all posts
Friday, January 22, 2010
EDL accelerates to clear electricity bad debts for Vientiane
(KPL) The Electricite du Laos (EDL) branch in Vientiane province has
accelerated to clear bad debts of electricity bills amounting to nearly 10 billion kip.
Acting Head of the Electricite du Laos branch in Vientiane province, Mr. Boun-oum Chanthalasy said currently Electricite du Laos�s debtors were government bodies, water pump stations of irrigation facilities, hotels and apartments, general businesses, entertainment sites and industrial factories.
Mr. Boun-oum said that the major debtor was Vientiane Province Administration Office with four billion kip, in which 1.5 billion kip has been unpaid since 2005.
Water pump stations owed over 4.3 billion kip and the rest are hotels and apartments, businesses, entertainment sites and industrial factories in the province.
Last December, the Electricite du Laos and the Finance Service of Vientiane province held a meeting in its efforts to settle the matter.
Electricite du Laos has presented two ways to the provincial finance service by setting up a new account for electricity debt clearance of state bodies in Vientiane province. For the other option, the Vientiane Administration Office was advised to use its provincial budget for clearing the bad debt of electricity bills. However, the two proposals are under consideration.
accelerated to clear bad debts of electricity bills amounting to nearly 10 billion kip.
Acting Head of the Electricite du Laos branch in Vientiane province, Mr. Boun-oum Chanthalasy said currently Electricite du Laos�s debtors were government bodies, water pump stations of irrigation facilities, hotels and apartments, general businesses, entertainment sites and industrial factories.
Mr. Boun-oum said that the major debtor was Vientiane Province Administration Office with four billion kip, in which 1.5 billion kip has been unpaid since 2005.
Water pump stations owed over 4.3 billion kip and the rest are hotels and apartments, businesses, entertainment sites and industrial factories in the province.
Last December, the Electricite du Laos and the Finance Service of Vientiane province held a meeting in its efforts to settle the matter.
Electricite du Laos has presented two ways to the provincial finance service by setting up a new account for electricity debt clearance of state bodies in Vientiane province. For the other option, the Vientiane Administration Office was advised to use its provincial budget for clearing the bad debt of electricity bills. However, the two proposals are under consideration.
Thursday, May 29, 2008
EDL considers prepaid accounts
Electricite du Laos (EDL), the largest electricity supplier in Laos , plans to introduce a new system requiring customers to pay for their electricity in advance.
EDL Acting Managing Director, Khammany Inthirath yesterday confirmed the state-owned enterprise was developing the new system in response to customers failing to pay their bills.
He said a large number of customers were late making payments, but he could not say how much money was owed to the company in unpaid accounts.
According to an electricity official, many customers pay bills once every few months, instead of immediately after the bills are issued. This negatively affects the company's cash flow.
Mr Khammany said the new system would enable EDL to collect money from consumers in advance, which would prevent customers accumulating large debts.
“We will do a test and then we will decide whether we will introduce the new system or not,” he said.
“The prepaid electricity system is widely used in our neighbouring countries of Thailand and Vietnam .”
EDL Deputy Managing Director Mr Savath Phoumalavanh the new system would also address customer dis putes about how much electricity was used each month.
Many people have filed complaints, saying staff collected incorrect data from their electricity meters and charged them for using more electricity than they really used.
He said the new electricity payment system would operate in a similar way to the prepaid mobile phone system, which requires customers to buy prepaid cards.
He said EDL was considering introducing the prepaid system in the four major provinces of Vientiane , Luang Prabang, Savannakhet and Champassak in September.
EDL would like to establish the new system with state organisations and major industrial units first. Initially the new system would be optional, but once it is fully operational consumers will not be able to access the electricity supply without a prepaid card. The prepaid cards will be sold in many places, like prepaid cards for mobile phones.
New electricity meters will also need to be installed if the new payment system is introduced.
By Ekaphone Phouthonesy. www.vientianetimes.org.la (Latest Update May 30 , 2008)
EDL Acting Managing Director, Khammany Inthirath yesterday confirmed the state-owned enterprise was developing the new system in response to customers failing to pay their bills.
He said a large number of customers were late making payments, but he could not say how much money was owed to the company in unpaid accounts.
According to an electricity official, many customers pay bills once every few months, instead of immediately after the bills are issued. This negatively affects the company's cash flow.
Mr Khammany said the new system would enable EDL to collect money from consumers in advance, which would prevent customers accumulating large debts.
“We will do a test and then we will decide whether we will introduce the new system or not,” he said.
“The prepaid electricity system is widely used in our neighbouring countries of Thailand and Vietnam .”
EDL Deputy Managing Director Mr Savath Phoumalavanh the new system would also address customer dis putes about how much electricity was used each month.
Many people have filed complaints, saying staff collected incorrect data from their electricity meters and charged them for using more electricity than they really used.
He said the new electricity payment system would operate in a similar way to the prepaid mobile phone system, which requires customers to buy prepaid cards.
He said EDL was considering introducing the prepaid system in the four major provinces of Vientiane , Luang Prabang, Savannakhet and Champassak in September.
EDL would like to establish the new system with state organisations and major industrial units first. Initially the new system would be optional, but once it is fully operational consumers will not be able to access the electricity supply without a prepaid card. The prepaid cards will be sold in many places, like prepaid cards for mobile phones.
New electricity meters will also need to be installed if the new payment system is introduced.
By Ekaphone Phouthonesy. www.vientianetimes.org.la (Latest Update May 30 , 2008)
Wednesday, January 16, 2008
Champassak electricity debt falls
Residents of Champassak province have paid off almost half of their debts to the provincial branch of Electricite du Laos, an official from the province said on Friday.
“At the start of 2007 we were owed 40 billion kip, but over the year customers managed to reduce that to 26 billion kip,” said the deputy manager of the provincial electricity department, Mr Khoune Bouaphengphanh.
“We are very happy with how much customer debts have been reduced,” Mr Khoune said.
He said the department hopes to reduce the outstanding amount from 26 to 16 billion kip by the end of this year.
In the past some residents could not meet the demands of payment if incomes in the poorer communities fell, and other people simply don't like to pay bills so end up with a mounting debt, he said.
“We will not cut off their electricity if they do not pay their debts, but we will explain the situation to them and ask them for reimbursement until they have paid us all they owe.”
Customers have signed agreements indicating they will pay their bills in amounts that fairly match their ability to pay. Some can repay the total amount in about three months, others will take longer,” Mr Khoune said.
There are 10 districts in Champassak province, and over half of the 926 villages receive electricity from the provincial branch of Electricite du Laos.
According to the department, the province is planning to expand the grid system in rural areas in the middle of this year.
This is to support the Lao government's strategic plan for poverty reduction, aimed at lifting Laos out of least-developed country status by 2020.
The grid will be widened to a further 119 villages over the next five years, with funds allocated by the World Bank, Mr Khoune said.
By 2010, the department expects to supply power to 70 percent of villages in the province, he said.
By Khonesavanh Latsaphao
(Latest Update January 7 , 2007)
Tuesday, September 4, 2007
EDL offers help with problem bills
Electricity users are welcome to check their bills at the office of the Electricite du Laos (EDL) if they have any queries, an official from the enterprise said on Monday.
EDL staff are there to help consumers solve problems if they feel anything on their monthly electricity bill is not clear, Mr Somphone said.
“We have full information on all electricity bill payments from 2003 to 2007,” he said.
Many people come to ask staff at EDL about the rates charged for the electricity they consume in a particular month, especially if the amount of power they consume seems to be the same as normal.
Mr Duangphachanh, a resident of Dongsavad village in Sisattanak district, Vientiane , is one such person.
He said he regularly paid about 140,000 kip per month from January to July this year, but last month received a bill for 900,000 kip.
“I was shocked when I received the bill,” he said.
He said he did not understand why his bill was so high, as he had not bought any extra electrical appliances for use in his house.
He called the electricity office to check his metre, and the staff who came said the device was working fine. They advised him to check with the EDL office.
When he did so, he was told he had not paid his bill for the past two months. He looked into the matter further and received a different answer.
“I was told that the bill for August should not be 900,000 kip, but 500,000 kip,” he said.
However, he had already paid the 900,000 kip as stated. “I'm still investigating the matter with EDL,” he said.
He said it was possible that charges could rise from 140,000 to 900,000 kip if electrical appliances or wiring was old and malfunctioning.
By Khonesavanh Latsaphao (Latest Update September 04, 2007)
http://www.vientianetimes.org.la/FreeContent/FreeContent_EDL.htm
EDL staff are there to help consumers solve problems if they feel anything on their monthly electricity bill is not clear, Mr Somphone said.
“We have full information on all electricity bill payments from 2003 to 2007,” he said.
Many people come to ask staff at EDL about the rates charged for the electricity they consume in a particular month, especially if the amount of power they consume seems to be the same as normal.
Mr Duangphachanh, a resident of Dongsavad village in Sisattanak district, Vientiane , is one such person.
He said he regularly paid about 140,000 kip per month from January to July this year, but last month received a bill for 900,000 kip.
“I was shocked when I received the bill,” he said.
He said he did not understand why his bill was so high, as he had not bought any extra electrical appliances for use in his house.
He called the electricity office to check his metre, and the staff who came said the device was working fine. They advised him to check with the EDL office.
When he did so, he was told he had not paid his bill for the past two months. He looked into the matter further and received a different answer.
“I was told that the bill for August should not be 900,000 kip, but 500,000 kip,” he said.
However, he had already paid the 900,000 kip as stated. “I'm still investigating the matter with EDL,” he said.
He said it was possible that charges could rise from 140,000 to 900,000 kip if electrical appliances or wiring was old and malfunctioning.
By Khonesavanh Latsaphao (Latest Update September 04, 2007)
http://www.vientianetimes.org.la/FreeContent/FreeContent_EDL.htm
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