NewsWhore
12-13-2010, 04:10 PM
A report in Listin Diario's economic section says that the government has taken on US$2.781 billion in foreign loans over the past seven years using the excuse of improving the electricity sector. Journalist Jairon Severino observes that the government has not allocated funds from the National Budget to any major electricity project, and preferred to take on loans, including its support for the bulging power subsidy.
He reports that the government borrowed US$300 million to convert EdeNorte and EdeSur's commercial debt into sovereign debt in 2006. The excuse back then was that the release of the funds would enable the distributors to become more efficient, but that did not happen, and the situation got worse. Other loans include the US$385 million for the Pinalito hydroelectric dam, US$400 million for Palomino dam, US$60 million for mini hydroelectric dams, and US$80 million for Las Placetas dam.
A further US$150 million was borrowed for the so-called electricity highway linking Santo Domingo and Santiago, US$10 million for the second transmission ring to Santo Domingo. US$7 million for mobile electric substations, and US$1 billion of the PetroCaribe funds that have been spent on subsidizing non-paying consumers, government entities included.
US$192 million were borrowed from the World Bank for the rehabilitation of networks, and another US$80 million were to repair electrical installations affected by tropical storms Noel and Olga. The government also borrowed US$40 million from the IDB for rehabilitation of distribution lines, and US$30 million from the OPEC Funds for the same purpose.
More... (http://www.dr1.com/index.html#5)
He reports that the government borrowed US$300 million to convert EdeNorte and EdeSur's commercial debt into sovereign debt in 2006. The excuse back then was that the release of the funds would enable the distributors to become more efficient, but that did not happen, and the situation got worse. Other loans include the US$385 million for the Pinalito hydroelectric dam, US$400 million for Palomino dam, US$60 million for mini hydroelectric dams, and US$80 million for Las Placetas dam.
A further US$150 million was borrowed for the so-called electricity highway linking Santo Domingo and Santiago, US$10 million for the second transmission ring to Santo Domingo. US$7 million for mobile electric substations, and US$1 billion of the PetroCaribe funds that have been spent on subsidizing non-paying consumers, government entities included.
US$192 million were borrowed from the World Bank for the rehabilitation of networks, and another US$80 million were to repair electrical installations affected by tropical storms Noel and Olga. The government also borrowed US$40 million from the IDB for rehabilitation of distribution lines, and US$30 million from the OPEC Funds for the same purpose.
More... (http://www.dr1.com/index.html#5)