GEBE warns of deepening financial crisis as non-payment and hack fallout continue.

~Utility Executive says only 58.6% of customers are paying bills as ACP-SXM demands relief measures.~

 

irisarrindell19062026PHILIPSBURG:--- Four years after the cyberattack that crippled GEBE's billing and customer management systems, the utility company says it is still struggling to recover while facing mounting financial pressure from unpaid bills, unmatched customer payments, and declining collections.

Speaking during a press conference on Friday, Temporary Manager Iris Arrindell said GEBE cannot afford to suspend disconnections or reverse the controversial nine-cent tariff adjustment demanded by the Association for Consumer Protection (ACP-SXM), warning that the company is already operating under significant financial strain.

The utility company revealed that only 58.6 percent of customers paid their bills in May 2026, while 9,526 customers remain delinquent, leaving GEBE with millions in outstanding receivables.

"We need to collect what we earn," Arrindell said. "If we continue only collecting 58.6 percent of our monthly income, we will continue going downward instead of upward."

HACK STILL HAUNTS GEBE

Arrindell spent much of the presentation explaining how the March 17, 2022, cyberattack continues to affect the utility's operations.

According to GEBE, the attack compromised the company's internal servers and backups, leaving management with only a March 2021 backup and limited files saved on employee desktops. Critical customer and billing information created between March 2021 and March 17, 2022, was effectively lost.

When management assessed the damage two days later, they discovered they only had customer open balances as of February 2022, downloaded to a desktop on March 9, 2022, along with paper meter reading schedules, meter readings, bank statements, and manually generated work orders.

Faced with the task of rebuilding an entire year's worth of customer records, GEBE rejected suggestions to create temporary bills in Excel and instead hired SAP consultants to rebuild the system using available digital and paper records.

The process required thousands of customer accounts to be rebuilt manually before the information could be uploaded back into the company's SAP platform.

Complications soon followed.

According to Arrindell, January meter readings were mistakenly used instead of February readings during the reconstruction process, forcing GEBE to correct March 2022 bills for every customer.

MISSING PAYMENTS AND ACCOUNT PROBLEMS

The utility executive also disclosed that years later, it is still dealing with customer payments that cannot be properly assigned.

Many customers who paid through the banking system failed to include their contract account numbers, making it difficult for GEBE to determine where to apply payments.

"To date, we still have payments that we do not know where to apply," Arrindell said.

The company also cited ongoing challenges involving landlords collecting utility payments from tenants without forwarding the funds to GEBE, accounts remaining in deceased persons' names due to inheritance disputes, and customers moving between properties without notifying GEBE.

More than half of GEBE's customers have yet to provide updated contact information, including email addresses and telephone numbers, despite repeated requests from the company.

WATER LEAKS WRITTEN OFF

In one of the more significant revelations, GEBE confirmed that it absorbed the cost of customer water leaks through December 2024.

Arrindell said the decision was made because billing delays in 2023 and 2024 prevented many customers from becoming aware of excessive water consumption in time to address leaks.

However, she made clear that the policy had ended.

"As of 2025, we no longer stand responsible for leaks after the meter," she said.

The company also expanded payment plans beyond water leaks to help customers manage outstanding balances following the cyberattack.

Initially, customers were required to make a percentage down payment before entering payment arrangements. When that approach failed, GEBE began tailoring plans based on what customers could afford.

The result, however, was that many customers paid only their payment plan amounts, allowing current bills to continue accruing.

Today, GEBE asks customers to commit to monthly payments that cover both their current utility charges and a portion of their outstanding debt.

Customers unable to cover even their current monthly bills are referred to Social Services for financial assistance.

gebetemporarymanagers19062026DELINQUENCY CONTINUES TO GROW

Figures presented during the press conference showed that unpaid accounts have been increasing steadily since the hack.

According to GEBE:

  • 939 contracts still have unpaid balances from 2022;
  • 1,942 contracts remain outstanding from 2023;
  • 3,792 contracts remain unpaid from 2024;
  • More than 16,000 accounts have unpaid bills recorded in 2026.

Arrindell warned that failure to collect those funds is preventing GEBE from making critical investments in infrastructure and equipment.

"WE HAVE TO RESUME DISCONNECTIONS"

The issue arises as ACP-SXM has publicly called on GEBE to reconnect customers who were disconnected and reverse the nine-cent increase applied to utility bills.

Arrindell said those demands are not financially feasible under the company's current circumstances.

GEBE suspended disconnections for approximately two weeks amid growing public pressure, but the company said collections immediately declined.

"Our cash just started to go right down because no one is paying," Arrindell said.

"We have to resume. We just cannot stop."

The utility plans to increase direct communication with customers through emails, notices, and reminders before resuming normal collection and disconnection procedures.

EXPLAINING THE NUMBERS

To illustrate the company's position, Arrindell compared GEBE to an employee earning XCG 26,386 per month but receiving only 58.6 percent of that salary.

Using the analogy, she explained that GEBE effectively receives only XCG 15,462 per month while facing obligations totaling XCG 14,199 for fuel and water purchases, XCG 4,000 for operational expenses, and XCG 750 for general expenses.

The shortfall, she said, must be covered through cash flow reserves.

While GEBE currently maintains more than $40 million in cash flow and has no long-term loans, Arrindell stressed that the company's future depends on improving collections.

PREPAID METERS AND FUTURE INVESTMENTS

Officials also revealed that approximately 17,000 smart meters capable of operating as prepaid or postpaid devices have already been installed across the island.

GEBE is now working to complete the software and infrastructure required to launch a prepaid utility system, with implementation expected to begin in 2027.

The company is also continuing efforts to secure new generators through a €70 million project supported by Dutch funding, although rising global costs have reportedly created a funding shortfall that remains under discussion.

Despite the challenges, Arrindell said management remains committed to restoring public confidence and ensuring the long-term viability of the utility.

"My team and I are committed to the survivability of GEBE," she said. "We're going to do whatever it takes to get this company back up."