The Board of Solomon Islands Electricity Authority has taken drastic cost cutting measures to address the rising cost of operation due to the rise in fuel.

Chairman of the SIEA Board, Walton Naezon, told National Express that the board had agreed on addressing the increasing cost of operation by implementing internal measures rather than increasing the tariff normally charged to electricity users.

"We have agreed to take drastic measures. There was the tendency to pass the cost onto the users but considering the increase in rice another other food items, the board had decided not to increase the tariff but take some internal cost cutting measures," said Mr. Naezon.

Mr. Naezon said some of these measures include the use of vehicles. He said they have advised SIEA workers to be economical and limit their vehicle use. "Often people use the vehicles for private use and sometimes there is no need of using all the vehicles when two or three jobs can be done using one vehicle."

They have also taken other measures including redundancy of casual workers. "Since we cannot control the fuel price, we might as well control the use of internal assets and workers, which will, in the long run, help us save a lot of money."

The action according to Mr. Naezon is likely to set precedence for many state owned enterprises. "Internal control measures are the only way to go," said Mr. Naezon.