PRIVATIZATION OF GOVERNMENT SYSTEM

Cayman Water Company Ltd, (CWC) was incorporated in 1973 to provide po table water and sewage treatment services for a large planned real est ate development on the Island of Grand Cayman in the British West Indi es. Shortly after acquiring an 18,000 US gpd Aqua Chem desalination pl ant it became apparent that the planned real estate development would not proceed at anything like the originally contemplated pace and CWC therefore sought, and was granted, an exclusive licence from Governmen t to supply potable water by pipeline to the major tourist area of the Island. Cayman's tourism grew from 76,000 visitors in 1975 to almost 1 million visitors in 1992. A former Government Minister acknowledged that this growth would not have taken place were it not for CWC. Today CWC has a production capacity of over 1 mgd, employs 17 people and is owned by 134 shareholders, the majority of whom are local residents.