PREPA on the auction block

Yeah, and I see the mayor of San Juan is upset... LOL...

Making some cryptic comment that it will only favor certain interests...

I would not count on savings just yet. They are selling the right to generate electricity and the current plants. The 9 billion debt will stay with the people not with the new corporations. Distribution will remain with AEE or whatever new name they give to the entity. Distribution will not be sold. You are looking at a bill for the power generation and a section of the bill for the cost of transmission. You are also looking at some of the old polititians that are doing some of the push for this because they are associated with those companies that would be buying the generation contracts. While illigal I expect all these companies will be fixing prices. Remember Hawaii, they pay more for electricity than the PR population. You may see prices come down 2 or 3 cents per KWH at first but eventually prices will rise year to year. All those garbage and diesel generation plants will remain in place for another 10 years to recoup the investment of the purchase. Slowly generation will be provided by renewables from the current 2% to at most 30%, but it is going to take many years. Besides contracts will not be awarded for about 18 months acording to the gobernor, so tou wont see a lot of changes any time soon. Micro cells may start appearing soon (1 year), but will affect just a few comunities, it is going to take many years and in the mean time we will still be depending on an ineficient transmission monopoly charging outrageous prices to carry the power around and using telephone poles and towers subject to huracanes and mud slides. I heardca rumor that they want 25 dollars a month per customer for the use of the transmission lines.

Hmmm...your points are well taken.   Just reinforces my desire to go off line solar.

Sitka wrote:

Hmmm...your points are well taken.   Just reinforces my desire to go off line solar.

Get it while you can, those micro cell companies will do what they can to discourage people from setting their own systems, it is crocket PR after all.

Sitka wrote:

Hmmm...your points are well taken.   Just reinforces my desire to go off line solar.

A 20kW full solar system with battery banks is at least $30k. That's a %^%$@# lot of money..
Assuming you would pay $250/month to PREPA that's 10 years break even, assuming you don't need to finance.

I just spend about 10 hours getting an account set up. So I wish everything would be sold off

for your information, the current gobernor plan that was submitted to the Promesa board has some hidden surprises including charges for those that want to disconnect from the electric service and run your own solar system. Basically it is punishment to those that do not want to pay for the electric grid. I dont have details at the moment but there are a lot of people complaining about all the hidden surprices in the plan. The board is examining the document and have Feb 23 as the date for certification, in the mean time there may be some changes to the plan.

Don't forget, according to PREPA, it may take as much as 10-12 YEARS for this "transition" to take place.

mac00677 wrote:

Don't forget, according to PREPA, it may take as much as 10-12 YEARS for this "transition" to take place.

Yes a lot of people don't realize it and think the change will be almost overnight.

I just read that the Promesa Board also called the "Junta" in PR, has rejected the PR financial plan as is. They require several changes, more details and improvements. They set a new date of Feb 14 for an updated copy for consideration.

They also rejected the AEE and AAA financial plans, again not enough info and no realistic numbers. If you read the letter the Board keeps mentioning lower electric rates, which I do not believe the PR plan to sell AEE nor does the AEE plan have in their respective plans.

It is going to be a while.

We are staying tuned for further developments.   

Current plans is to have contracts signed for the sale in 18 months, so grab a chair and sit.