Quantcast
Energy

Puerto Rico Plans to Privatize PREPA as Critics Warn of 'Maximum Amount of Corruption and a Minimal Amount of Electricity'

Puerto Rico will take steps to privatize its troubled state-owned electric utility, officials announced Monday.

Governor Ricardo Rosselló said plans to sell the bankrupt Puerto Rican Power Authority, or PREPA, would move the island towards a "consumer-centered model" for power as well as help Puerto Rico attain its goal of 30 percent renewable energy.


The utility, which faced long-standing charges of corruption and severe mismanagement, came under harsh criticism for its handling of Hurricane Maria, including its decision to grant a $300 million contract to a little-known Montana energy firm. Nearly 30 percent of Puerto Rico's population remains without power four months after the hurricane hit the island.

Rosselló said it could take 18 months to privatize PREPA, the largest U.S. public utility measured by the number of customers—3.3 million, NPR reported.

"The Puerto Rico Electric Power Authority does not work and cannot continue to operate like this," Rosselló said in a televised address. "With that PREPA, we cannot face the risks of living in an area of high vulnerability to catastrophic events."

As reported by Reuters:

"One analyst was skeptical of Rosselló's plan.

'He's got no energy plan, no financial analysis, if he thinks he's going to sell it off and the private sector is going to come in and invest, that is a recipe for Puerto Rico being raked over the coals by private interests,' said Tom Sanzillo, director of finance for the Cleveland, Ohio-based Institute for Energy Economics and Financial Analysis.

'This will produce a maximum amount of corruption and a minimal amount of electricity,' said Sanzillo, whose organization has provided expert witnesses to PREC proceedings."

San Juan Mayor Carmen Yulín Cruz also criticized the privatization with a tweet in Spanish, translated as "The privatization of PREPA is to put the economic development of the country in private hands. The authority will serve other interests."

For a deeper dive:

Reuters, AP, ABC, Politico, NPR. CNBC, Fortune, Huffington Post, LA Times

For more climate change and clean energy news, you can follow Climate Nexus on Twitter and Facebook, and sign up for daily Hot News.

Show Comments ()
Sponsored
Popular
Old White Truck / Flickr

The Last Straw? EU Official Hints Ban on Single-Use Plastic Across Europe

A top EU official hinted that legislation to cut plastic waste in Europe is coming soon.

Frans Timmermans, the first vice president of the European Commission, made the comment after Britain's environment minister Michael Gove, a pro-Brexiter, suggested that staying in the EU would make it harder for the UK to create environmental laws such as banning plastic drinking straws.

Keep reading... Show less
Flare from gas well. Ken Doerr / Flickr

Court Orders Trump Administration to Enforce Obama-Era Methane Rule

A federal judge reinstated a widely supported methane waste rule that President Trump's administration has repeatedly tried to stop.

Judge William Orrick of the U.S. District Court for Northern California ruled Thursday that Bureau of Land Management's (BLM) decision to suspend core provisions of the 2016 Methane and Waste Prevention Rule was "untethered to evidence."

Keep reading... Show less
On Jan. 24, 2017 President Donald Trump signed a memorandum to expedite the Keystone XL permitting process. Twitter | Donald Trump

Inside the Trump Admin's Fight to Keep the Keystone XL Approval Process Secret

By Steve Horn

At a Feb. 21 hearing, a U.S. District Court judge ruled that the Trump administration must either fork over documents showing how the U.S. Department of State reversed an earlier decision and ultimately came to approve the Keystone XL pipeline, or else provide a substantial legal reason for continuing to withhold them. The federal government has an order to deliver the goods, one way or the other, by March 21.

Keep reading... Show less
Health

New Black Lung Epidemic Emerging in Coal Country

In a study released this month by the National Institute for Occupational Safety and Health (NIOSH), federal researchers identified more than 400 cases of complicated black lung in three clinics in southwestern Virginia between 2013 and 2017—the largest cluster ever reported.

However, the actual number of cases is likely much, much higher as the government analysis relied on self-reporting. An ongoing investigation from NPR has counted nearly 2,000 cases diagnosed since 2010 across Appalachia.

Keep reading... Show less
Sponsored
Dennis Schroeder / NREL

The Facts About Trump’s Solar Tariffs – Who Gets Hurt? Who Gets Helped?

By John Rogers

The solar-related shoe we've been expecting has finally dropped: President Trump recently announced new taxes on imported solar cells and modules. There's plenty of downside to his decision, in terms of solar progress, momentum and jobs. But will it revive U.S. manufacturing?

Keep reading... Show less

Japan Confirms Oil From the Sanchi Is Washing Up On Its Beaches

By Andy Rowell

The Japanese Coast Guard has confirmed that the oil that is being washed up on islands in the south of the country is "highly likely" to have come from the stricken Iranian tanker, the Sanchi.

Keep reading... Show less
Sponsored
Dave Keeling

Is Constant Human Noise Stressing Out Wildlife?

By Jason Daley

A major study earlier this year showed something incredible. Looking at 492 protected areas in the U.S., researchers found that 62 percent of the parks, wilderness areas and green spaces were twice as loud as they should be. About 21 percent were 10 times as loud. Noise isn't just annoying—chronic exposure to traffic, generators and airplanes can lead to negative consequences for wildlife. Researchers like Nathan Kliest are just getting a handle on exactly how all that noise impacts animals. Kliest, formerly of the University of Colorado Boulder and now at SUNY Brockport, recently investigated the impact of chronic noise on birds in the Southwest.

Keep reading... Show less
GMO
Activists campaigning to regulate glyphosate in the European Union. Avaaz / Flickr

Monsanto 'Commands' Civic Group to Turn in All Communications Over Glyphosate

Avaaz, a civic campaigning network that counts roughly 45 million subscribers around the world, has been served with a 168-page subpoena on behalf of agribusiness giant Monsanto.

The document, dated Jan. 26 and sent from New York Supreme Court, "commands" the U.S.-based organization to turn in a decade's worth of internal communications by Friday, Feb. 23.

Keep reading... Show less
Sponsored

mail-copy

The best of EcoWatch, right in your inbox. Sign up for our email newsletter!