May 29, 2018 Read More →

Obstacles to Power Grid Transformation

El Nuevo Dia:

The five-year fiscal plan certified for Puerto Rico Electric Power Authority (PREPA) and the proposal that is being promoted for the privatization of some of its assets are, right now, obstacles to Puerto Rico´s power grid transformation, according to the Institute for Energy Economics and Financial Analysis (IEEFA).

In a report, IEEFA – a study group based in Cleveland, Ohio, funded by philanthropic organizations – highlighted that by 2023, PREPA´s budget deficit – which has a $ 9 billion debt- would be $ 1 billion.

“Without recurring budget balance and the demonstrated discipline to achieve it over several years, none of PREPA’s plans for new transmission, distribution or generation can be achieved,” states the report entitled “The Puerto Rico Electric Power Authority’s Flawed Fiscal Plan: Budget Shortfalls and Weak Implementation Plan Create Substantial Risk”.

The group also stated that the lack of audited PREPA financial statements –not made by the government of Puerto Rico since 2014- along with the destruction caused by Hurricane Maria reflects the lack of reliable financial information.

Obstacles to Power Grid Transformation

Posted in: IEEFA In the News

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