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Guam Power Authority. Infrastructure Project Needs Assessment. The Guam community is …. An American community A showcase for diversity and democracy firmly rooted in the American tradition Called to become the point of the spear that defends our country’s interests in the Western Pacific
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Guam Power Authority Infrastructure Project Needs Assessment
The Guam community is … • An American community • A showcase for diversity and democracy firmly rooted in the American tradition • Called to become the point of the spear that defends our country’s interests in the Western Pacific • Proud to be called
Guam’s Sons and Daughters .. • Have served, bled and died for our country; upholding the highest traditions of military service • Will continue to serve proudly; so very proudly • Are still answering the Call to serve: • “The US military says recruitment in its affiliated Pacific Island territories is still strong despite suffering the highest number of casualties per capita in the Iraq war. “ • Guam is sixth highest among states and territories in Iraq War casualties per capita.
Our Biggest Fears • Creation of a segregated community: an American state divided into those behind and those outside the fence • Non-participation in the economic opportunities brought by the impending military buildup • Reversal of the transfer of Department of the Navy (DON/DOD) electric power assets to Guam under the Customer Services Agreement • Loss of DON/DOD as a customer
Best Sense • Best economic sense: • An integrated approach to serving the needs of both the military and the supporting civilian communities • Best operational sense: • Civilian community actively engaged and supporting the military mission • Supplying the infrastructure as in any other American community.
Participating in the Preparation • Guam Power Authority and Water Utilities are raising their rates to improve the quality of service • Commitment: • Tens of millions of dollars each year • Hundreds of millions over the next decade
Impediments • Capital Funding Gap; • Information Gap: • Planning information; • Information on the required levels of service for the military mission; • Increased infrastructure development costs
Capital Funding Gap • Congress cannot reasonably expect a community the size of Guam to fund the necessary capital outlays • In other American communities, developments of this magnitude would likely require the following from the developer: • Development fees for local planning • Capital development funding • Close cooperation with local government
Information Gap • Guam needs information in order to adequately plan for augmenting and improving infrastructure • Guam is being put at a disadvantage • We are being asked to plan, prepare, and perform to an unknown standard
Rising Development Cost • Magnitude of Department of Defense projects increasing construction costs • Costs are rising for all infrastructure additions • Exacerbates the strain on local resources
Loss of DON/DOD as a Customer • If Guam Power Authority should lose the Department of the Navy/Defense as a customer, it will result in a 15% rate increase on the remaining rate base
Guam is … • An American community expected to • Prepare and provide for a massive buildup supporting the broadcast of American influence into the Western Pacific and Asia • A community that • Supports this role • Expects to share in the economic and infrastructure benefits • Should not be excluded outside the fence
Generation System Reliability Improvement and New Supply Projects
Transmission & Distribution System Reliability Improvement Projects
