The World Bank Multilateral Investment Guarantee Agency (MIGA) has expressed its concern over the current situation between the power distributors, the power generators and the Superintendence of Electricity. After a four-hour meeting with the Superintendent of Electricity Julio Cross, the representatives of MIGA told reporters that they were worried that these disputes would create risks for foreign investment in the Dominican Republic. The government has a US$200-million loan pending with the World Bank to be used to make payments on arrears due to the electric companies, but the loan is subject to several conditions. Among the conditions is one that would oblige the CDE (what remains of the old Dominican Electric Corporation) to separate the electrical transmission entity from the hydroelectric generation entity. At the same time, the World Bank wants the government to put into effect a law that might permit the concession of these two entities in the private sector. Up until now, the government has made no advances on these matters, although the Minister of Finance Jose Lois Malkum indicated that the loan would be approved by March of this year.
