Negotiated Energy answers questions about LUMA’s contract

The Commission for Economic Development, Planning, Telecommunications, Public Private Alliances and Energy, chaired by the representative, Luis Raúl Torres Cruz, received today the appearance of Edison Avilés-Deliz, President of the Energy Negotiator of Puerto Rico, as apart from the public hearings attending to the investigation into the LUMA Energy contract.

Resolution of Chamber 136 seeks to create a comprehensive process of investigation into the privatization contract of the Electricity Authority (AEE) that awards the powers to operate, manage, maintain, repair and restore the electricity network of Puerto Rich for a period of 15 years at LUMA.

On the second day of public hearings addressed by the measure, extensive answers were received from Avilés Deliz to questions about his participation in the process of evaluation and award of the LUMA contract. “The role of the Energy Negotiator with regard to EEA transactions is limited. Therefore, once the Authority for Public Private Alliances (AAPP) has completed the procedures entrusted to it, the Negotiat d’Energia assesses whether the proposed contract complies with the public energy policy and the current energy regulatory framework “, mentioned Avilés in an introductory way in his presentation.

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As part of the Energy Negotiation tasks, in the process of evaluating the LUMA contract, the issuance of the Energy Compliance Certificate is highlighted, which, according to the Avilés memorial, is defines as a certificate issued by the Energy Negotiator in any EEA transaction, certifying that the preliminary contract complies with the Puerto Rico Energy Policy Act and its regulatory framework.

Also, the chairman of the negotiated explain details about the legal and procedural framework applicable to the alliance contract. Shortly afterwards, he received questions from representative Torres Cruz, who was concerned about Avilés’ participation in the Alliance Committee while chairing the Energy Negotiation. According to the report of the said official, the Negotiated is an independent specialized body responsible for regulating, supervising, supervising and ensuring compliance with the public energy policy of the Government of Puerto Rico.

“In compliance with Law 29-2009, the Commissioner President was appointed by the Board of Directors of the AAPP to the Alliance Committee for knowledge and experience related to the alliance contemplated. His participation is not prohibited or impeded by the Law 120-2018. The Law expressly provides that the Negotiated shall provide the technical, expert, financial and human resources assistance that the AAPP requests to ensure the success of each EEA transaction, “the President explained. of the Energy Negotiator, Edison Avilés.

In turn, the representative Torres Creu mentioned, that, to address questions about a possible conflict of interest in the participation of Avilés in the LUMA contract, an executive hearing will be held on Friday, February 26 at 10:00 of the morning. “A vote will be held for a possible award to Government Ethics,” Torres mentioned.

After presenting several cases on officials involved in various stages of the public-private partnership process, Avilés mentioned that “it is necessary to clarify, that (their participation in the evaluation and award of the contract) does not constitute a conflict of interest under the applicable precepts of Law-29-2009 “. Also, if an explanatory memorandum follows, that in order to avoid conflicts of interest that may be incurred by members of the Alliance Committee, Law 29 provides that “they may not be affiliated or have an economic interest, direct or indirect, with any proposer or contractor, “explained Avilés, who says they have no economic interest in LUMA.

The Alliance Committee was appointed by the Board of Directors of the AAPP and appointed as members the executive director of the Puerto Rico Financial Advisory Authority and Tax Agency (AAFAF), the executive director of the AEE, the engineer Ralph Kreil Rivera, as a member of the Board of Directors of the EEA, the graduate Edison Avilés Deliz, President of the Energy Negotiation and Jorge Morales, Director of Property Management of the Development Company Industrial de Port.

The public hearing featured sign language interpreters and was broadcast via the Puerto Rico House of Representatives Facebook page.

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