Beyond PREPA & LUMA

Our analyses reveal the reality of the complex process that transforming Puerto Rico’s energy system entails.

Published on September 13, 2022 / Leer en espa├▒ol

CNE continuously monitors and analyzes the complicated processes underway at PREPA.  We provide timely and necessary recommendations for the transformation of the energy system.

The well-being of generations and the economic growth of Puerto Rico depend on attaining a more affordable and reliable electric service for all.  Our work focuses on achieving this goal.

CNE provides real solutions to difficult problems.
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Click on the following links to view a selection of our content on energy

Privatization (Contract with LUMA)

Sep-13-2022: Another Look at the PREPA-LUMA Agreement: Our objective with this new analysis is to provide a succinct evaluation of the situation today, analyze some of the options available to the government of Puerto Rico and hopefully clarify some of the confusion surrounding the operation of this public-private partnership agreement. Click here to read the Executive Summary.

Apr-12-2021: Sergio M. Marxuach, CNE’s Policy Director, gave a presentation to the Puerto Rico House of Representatives Committee on Economic Development, Planning, Telecommunications, Public-Private Partnerships and Energy on House Resolution 136 to conduct a thorough investigation into PREPA’s contract with LUMA Energy to operate, manage, repair and restore the public corporation’s grid and for other related purposes.

Feb-4-2021: CNE warns about a possible duplication of efforts and a waste of energy-related funds. Read brief.

  • Aug-26-2020: Analysis of the LUMA contract (the contract is more than 600 pages long).
  • Aug-26-2020: Executive summary that presents the main concerns, risks and our recommendations.
  • Aug-31-2020: Sergio Marxuach’s column published in El Nuevo D├şa where he recommended that the contract be corrected or that the parties return to the negotiation table.

Debt Restructuring (RSA)

Aug-16-2018: CNE analyzed the preliminary agreement between PREPA and the Fiscal Control Board for the restructuring of a portion of PREPA’s debt with a group of non-insured bondholders.

May-23-2019: CNE analyzed the Definitive Restructuring Support Agreement (the “RSA”) entered into on May 3, 2019 between PREPA, AAFAF and the Fiscal Control Board, with the members of the Ad Hoc Group of PREPA Bond Creditors, Assured Guaranty Corp. and Assured Guaranty Municipal Corp.

Mar-24-2022: CNE analyzed the status of PREPA’s debt restructuring process following the announcement of the cancellation of the May 3, 2019 agreement.

Energy Grid Reconstruction

April-9-2019: Sergio M. Marxuach, CNEÔÇÖs Policy Director, testified at a hearing of the House Committee on Natural Resources. Below we share his presentation on the state of PREPA and the path forward for Puerto Rico’s energy transformation.

Additional Content