The Electric Power Authority identifies new savings to reduce the rate | agencies

Puerto Rico Electric Power Authority (PREPA) has identified potential savings and receivable funds of up to $79.5 million that can be used as part of the quick settlement accounts that Puerto Rico Energy Bureau (PREB) will complete at the end of this month.

However, they will only apply that amount as credit to customers over $20 million, after adjusting for expenses and expectations, which could translate into a reduction of 1.5 cents to 2 cents per kilowatt-hour (kWh), the CEO said. yesterday. For PE, Jose Colon.

The official explained that in June, the highest cost of purchasing fuel for generation was recorded so far this year. During the months of January through May, this item remained at approximately $200 million per month. In June, spending rose to $323 million, which he attributed to higher fuel prices as a result of the war between Russia and Ukraine.

However, this price began to show a downward trend in July, so more than $60 million in fuel spending is expected to be lower than originally expected.

In addition, it is expected to recover more than $13.5 million in sanctions against Naturgy, which is supposed to supply natural gas to central Costa Sur, in Guayanila, but did not honor the contract.

IN THE HAND OF PREB

“The technical staff will submit a request to the Energy Office to share the information so that the office can use it to evaluate and reconcile the data it is implementing, so that these savings can be transferred to the customer immediately,” Colon announced at a press conference near central Aguirre, in Salinas.

According to the head of the body, these savings were determined thanks to the “concrete work behind words” by the fuel bureau and financial personnel of the public institution, especially after the bill No. 931, which was transferred 165 million, was not approved in the last session of the Legislative Senate. dollars from the State Insurance Fund Corporation (CFSE) to mitigate increases in water and electricity bills that took effect on July 1.

Although Governor Pedro Pierluisi returned the measure to an extraordinary session, it did not pass the Senate.

“In the situation in which the project requested by the Governor was not approved by the Legislature and of which we deeply regret, we point out that this work done quickly and with a sense of urgency has provided that in all likelihood, with the use of these funds which we have identified, the Company can use To positively return it to clients, Colon said the final amount would be subject to a settlement last month.

He refuted that PREB was not informed in time about the $44.5 million that PREPA was to receive in compensation for excess fuel expenditures after the 2020 tremors damaged central Costa Sur. LUMA Energy – responsible for the island’s power transmission and distribution system – said in a proposal submitted this week to the bureau that its estimate would be closer to $34 million.

According to PREPA detailed in an interview with speakerthis amount should not be applied as a credit to clients in this settlement because it may take years to eventually reach the coffers of the public institution and will have an impact on putting its financial resources in a precarious situation, as its income was about $ 218.8 million compared to what was expected.

On the other hand, Colon said that the repairs to the first unit of the Aguirre power plant are about to be completed at a cost of more than $20 million, describing it as one of the most important repairs made in the electrical system.

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