2000News

Cardinal urges revision of energy privatization contracts

Cardinal Nicolás de Jesús López Rodríguez described as "imbecils" those who signed the capitalization contracts with the private generators and distributors. He says it is hard to understand how the power companies can charge for power they are not producing, and that those who signed the contracts did not provide the corresponding control measures. He spoke on his Channel 41, Fe y Acontecer weekly program. He said the country is living the consequences of 30 years of improvising in the power sector. Cardinal Lopez urged a revision of all the contracts. The privatization did not include provisions for competition nor regulation of the sector, thus the country went from a state monopoly to a practical private monopoly, which has resulted in a higher cost of power for most consumers.