P.R. energy sector representatives discuss potential effects of rate increase
The Puerto Rico Institute for a Competitive and Sustainable Economy (ICSE) Executive Director Tomás Torres moderated a panel discussion during the Caribbean Renewable Energy Forum (CREF) in Miami that went over the the implementation of the New Puerto Rico Energy Policy, the projected increases in the electricity rate, which could reach 10 cents per kilowatt hour, and its effect on the economy of Puerto Rico.
Torres headed the Puerto Rico Panel in which representatives from the Financial Oversight and Management Board for Puerto Rico, the Puerto Rico Electric Power Authority, the Puerto Rico Manufacturers Association, and energy sector leaders and experts discussed aspects of the Puerto Rico energy transformation.
The proposed rate increases in PREPA’s Fiscal Plan that includes, among others, charges as a result of the public utility’s debt restructuring agreement, could lead Puerto Rico to be among the jurisdictions with the most expensive electricity costs in the world, putting at risk the implementation of the New Puerto Rico Energy Policy, Act 17, 2019.
Obtaining the required Federal Emergency Management Agency reconstruction funds, low-cost contracts, a well-driven
debt restructuring process, along with other factors could aid Puerto Rico in the transformation and sustainable development of its electrical system, and the implementation of its New Energy Policy, according to the panelists.
This is the third consecutive year the Caribbean Renewable Energy Forum is held.