1959 1965 1970 1975

Index 100 184 245 299


g. Public utilities
 The main source for the projections of electricity were the report on "A Commercial
Approach to Rural Electrification" and "Tobago Review of Past Operations Together
With Projections Until 1972. Varying rates of growth were assumed for the several
consumers; however, domestic consumption and consumption by manufacturing industries
predominate.

 The overall rate of growth for electricity to be generated was taken at approximately
13% per annum.

 Projections for Port Services relied heavily on the Hedden Report on Port Administra-
tion and Development, which made several recommendations for the reorganization and
development of the port. It is expected that as a result of this reorganization Port
Services will become self-supporting. In 1959 it incurred a deficit of BWI$2.6 million.

 It was assumed that the railways will continue to run at a loss.

h. Government
 When this study was being undertaken the government's new Development Programme
 (1963-67) had not yet been finalised. Consequently many assumptions had to be made about
 the level of government expenditure and the allocation of such expenditure.

 As it is the government's policy to make a serious attack on the problem of unemploy-
 ment, it can safely be assumed that expenditure under the new programme will be not less
 than that of the previous one. The second assumption which had to be made was that
 government's expenditure must increase to maintain the results of the last programme,
 such as maintenance of roads, education and social services generally.

 It is believed that the emphasis of the new programme will be on building and construc-
 tion. The reasons are (1) that this will alleviate the serious housing shortage, and
 (2) that this type of expenditure will generate employment principally in the manufacturing
 and household sectors and thus will have an impact on other sectors.

 In line with the foregoing assumptions, the index of government's expenditure will be
 as follows:

 1959 1965 1970 1975
 Index 100 195 251 303

 In order to achieve these goals, government will have to resort to some of the following
 sources for revenue: (1) increased taxation, (2) expenditure from surplus balances,
 and (3) borrowing. However, if government goes through with its plan for a 50-50 share
 of the oil companies' profits (negotiations are now taking place between government and
 the oil companies) there will be a substantial increase in government revenue.