2017News

Medina bets on Punta Catalina power plant, no sacred cows

President Danilo Medina gave the go ahead to the construction of the Punta Catalina power plants by Brazilian Odebrecht construction company. The power plant is the largest single construction by the company. The Medina government began construction of the coal-fired power plant in Peravia province in 2013. The plant is affected by the controversial Odebrecht corruption scandal.

Medina argued the benefits the plant would bring to the country. He said it would generate 5.5 million megawatts/hour, around a third of the demand projected for 2018, at a cost of US$0.07.5 per kilowatt/hour.

President Danilo Medina once again promised that there would be no sacred cows in the Odebrecht corruption case. He again instructed the Dominican judiciary to continue to investigate the case.

In his annual report at Congress on 27 February, Independence Day, Medina stated that the agreement the Attorney General has reached with the Brazilian company does not stop the investigations carried out by Dominican prosecutors and reiterated the investigations would not be impeded and those who are ensnared in the case would suffer the consequences.

A New York Court revealed in December 2016 that Odebrecht admitted to having paid US$92 million in bribes to secure Dominican government contract work. Attorney General Jean Alain Rodríguez has announced having reached an unpublished agreement whereby Odebrecht would compensate the government for US$184 million over an eight-year period.

Of all the people who have sat for questioning by the Attorney General, only Odebrecht commercial representative in the Dominican Republic, Angel Rondón, has accepted receiving a similar amount, but he has stated these were fees for work carried out and not bribes. Contrary to what has occurred in other Latin American countries, the Dominican judiciary has not pressed charges against anyone in the Dominican Odebrecht investigation.

Odebrecht contract work has spanned the governments of Leonel Fernández, Hipólito Mejía and Danilo Medina.

Medina said his government has “nothing to hide.” He said he awaits the report to be presented by the commission of distinguished professionals he appointed to investigate the construction and the tender of the power plant. He defended the public work and said he would not allow that the progress of the country be stopped. Groups claim the project was overpriced to help finance his re-election bid. Medina’s chief electoral strategist Joao Santana was sentenced to eight years in jail this February 2017 for his complicity in corruption cases in Brazil.

Opposition politicians have been critical of the government’s handling of the bribery scandal. Andres Bautista of the PRM said Medina should be given an Oscar for his performance and said he delivered “promises, more promises.” He noted the President did not answer accusations of corruption surrounding the Odebrecht bribery case and other scandals, specifically mentioning the cases of the Super Tucano Brazilian aircraft, Los Tres Brazos property deal, Supervisory Office of Public Works of the Presidency, State Enterprises Corporation (Corde), and State Sugar Council (CEA).

Spokesman for the Marcha Verde civic group said that in his speech, Medina proved he is just a part of the structure that props up impunity and corruption that has a hold of the Dominican Republic. Marcha Verde has requested the government hire independent investigators and the United Nations specialists to investigate the bribes, overpricing and illegal financing in the Odebrecht government works.

Read the Annual Report in Spanish:
Acento

Read more in Spanish:
El Nacional
El Caribe
MetroRD
El Nacional
Diario Libre