The future of Puerto Rico is arriving quickly. The electrical authority PREPA negotiated its $9 billion debt repayment, and guess who is going to pay for it?
That’s right…the people of Puerto Rico.
A “SECURITIZATION CHARGE”
In Puerto Rico, fancy words often hide a simple crime.
The latest crime is the “securitization charge” that will be added to everyone’s electrical bill on the island.
One month ago, after negotiating with several vulture funds, PREPA announced that as of June 2016, a “securitization charge” of 3 cents per kilowatt hour would be added to everyone’s bill. This would amount to an average rate hike of $11.98 per household on the island.
But now, this “securitization charge” will rise to 4.2 cents per kw/hr within three months.
This is in addition to an electrical bill that is already 300% higher in Puerto Rico, than it is in New York City.
P3s and a FINANCIAL CONTROL BOARD
Puerto Rico will soon see more of this.
Once the Financial Control Board arrives, anytime that a debt is re-structured, the vulture funds and bondholders will demand that the debt be converted into a “Public Private Partnership” (aka P3) which is managed and operated by the vulture funds themselves.
These are really P5s…Public Private Partnerships for the Plunder of Puerto Rico.
Since the Control Board is merely a collection agency for the vulture funds and bondholders, the Board will ensure that all unpaid “debt” is converted into a P3, which will then provide a 30-year revenue stream to the vulture funds.
CAPITALISM + COLONIALISM = DISASTER FOR PUERTO RICO
This is where we are.
Puerto Rico is becoming a land of beggars and billionaires…owned by absentee landlords, fought over by lawyers and clerked by politicians.
An island with a 45% poverty rate and a per capita income under $16,000 annually (less than half that of Mississippi, the poorest state in the US) will soon be forced to pay an enormous electrical bill.
SOMEONE ELSE SHOULD PAY IT
Maybe someone else should pay this bill.
That “someone else” …could include Lisa Donahue, the “re-structuring expert” hired by PREPA for eight months, at a fee of $9 million. In July 2015, Donahue’s company billed the Commonwealth an additional $7.3 million for Donahue’s “re-structuring” services.
So far, Donahue’s 16 million dollar idea for “re-structuring,” is to raise the electricity rates for everyone on the island.
Someone else who should pay this bill…is Luis Fortuño, and everyone involved in $4 billion in illegal borrowing by PREPA from 2009 to 2012.
Someone else who should pay this bill…is everyone involved in the $100 million PREPA bribe scheme, which pumped money into politician’s pockets, and poisonous air over the entire island of Puerto Rico.
The ones who should not be paying for this PREPA debt, are the people of Puerto Rico. They did not create this debt, or benefit from it.
Unfortunately, this PREPA “re-structuring” ordered precisely that the people of Puerto Rico must pay it… with a rate hike of 4.2 cents.
For a history of the War Against All Puerto Ricans, read the book…
Si prefiere ver la página web en español por favor visite: http://www.guerracontratodoslospuertorriquenos.com