Puerto Rico gov signs bill to privatize power company assets

Danica Coto, Associated Press
Updated 8:18 pm, Wednesday, June 20, 2018

SAN JUAN, Puerto Rico (AP) — Puerto Rico's governor signed a historic bill Wednesday to privatize the U.S. territory's troubled power company in a move many hope will help minimize power outages that have followed Hurricane Maria and stabilize the production and distribution of energy amid an 11-year-old recession.

The Puerto Rico Electric Power Authority is one of the largest U.S. public utilities, and the bill allows for the sale of its power generation plants as the company faces more than $9 billion in public debt and relies on infrastructure nearly three times older than the industry average. It also allows the government to create public-private partnerships for the transmission and distribution of power as well as for services including billing and meter-reading.

"We're here to make transformational changes for Puerto Rico," Gov. Ricardo Rossello said, adding that he believes the law will help attract more investment. "It's no secret that Puerto Rico's economic development has remained stagnant in recent decades."

Rossello said initial market studies have revealed "a lot" of interest in taking over the generation and distribution of power in Puerto Rico. But contracts will not be awarded anytime soon. Legislators now have 180 days to approve another measure to establish a public energy policy and regulatory framework that Puerto Rico's Energy Commission will use as a guide to award contracts.

More:
https://www.chron.com/news/world/article/Puerto-Rico-gov-signs-bill-to-privatize-power-13010674.php





Gov. Ricardo Rossello with friend.