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Energy regulator to intervene in PREPA-PUMA fuel transfer dispute


Puerto Rico Energy Bureau Chairman Edison Avilés Deliz

By The Star Staff


The Puerto Rico Energy Bureau (PREB) will intervene in the dispute between PUMA Energy Caribe LLC and the Puerto Rico Electric Power Authority (PREPA) regarding the operation of certain pipes and valves used for the transfer of fuel from the area known as Cataño Oil Dock to units 5 and 6 of the Central San Juan power generation plant.


Last week, PREPA successfully sued PUMA for stopping the flow of No. 2 fuel to units 5 and 6 at Central San Juan. PUMA charged that PREPA was interfering with its property.


PREB Chairman Edison Avilés Deliz said in a statement Monday that the regulatory agency unanimously appointed Gerardo A. Flores García as the examining officer in charge of conducting the investigation. The examining officer will have a term of 60 days, starting today, to carry out the investigation and submit to the PREB a report with its findings and recommendations.


As part of the investigation, the PREB summoned the parties to a hearing on Dec. 10 at 10 a.m. In addition to the representatives of PUMA and PREPA, the representatives of the companies BEST Petroleum Corp. and Novum Energy Trading Inc. were also summoned.


“In light of the events that occurred on November 26, which required the intervention of the judicial branch, and ensuring the best public interest and to ensure the execution of the Energy Transformation of the island, it is our responsibility, as established in Law 57-2014, as amended, to investigate “any natural or legal person whose actions affect the provision of electric power services, including any person or entity that uses its control over said services to affect the provision of the same,” Avilés Deliz said.


According to the PREB’s order and resolution, from the information publicly aired on the dispute, there is the possibility that there were commissions of acts, actions or omissions of various persons and/or legal entities that could or could have the effect of influencing the provision of electric power services on the island. Likewise, they could affect compliance with the legal regulations administered by the PREB for the execution of public energy policy.

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