2004News

World Bank steps away from electric crisis

The newspaper Hoy reports that the World Bank has expressed ?deep concern? over the electricity crisis affecting the Dominican Republic. The international financial institution said, however, that in no way was the crisis due to its suspension of disbursements. Christina Malmberg Calvo, the World Bank representative in the DR, said in a press release that the organization is committed to helping the Dominican Republic find solutions to the problems in the electricity sector. In order to attain the required sustainability of the sector, an agreement must be found between the government, suppliers, private sector and the customers. Malmberg pointed out that the National Energy Commission is trying to reach such a consensus and she hoped the new administration would follow in these footsteps. With the monthly deficit of the energy sector at about US$20 million, the World Bank officer reminded the press that the US$25-million disbursement would not solve the crisis in any case. According to the bank?s way of thinking, the liquidity problems and the blackouts are the consequences of the crisis, not the causes. Of the US$100-million package approved last February, US$50 million has been disbursed and designated to reducing the impact of the economic crisis on the poor and needy. Disbursements for US$50 million are pending government action as agreed with the energy sector.