Santo Domingo.- The Inter-American Development Bank (IDB) has recommended setting up a trust to ensure funds to pay power plant operators and prevent a repeat cash flow problems affecting invoice payments, fuel purchases and the financial blackouts of the past.
It said a separate account needs to be created and protected by law whose funds are to be used only for that purpose.
The trust would manage the funds from the Treasury, including those earmarked in the Electricity Fee Sability Fund (FETE).
The recommendations are included in the "Analysis of the electricity sector’s current situation" recently hosted by the organization, quoted by eldia.com.do.
The document, which has yet to be published, suggests a reassessment of the energy distributors’ financial recovery goals for 2012-2015, adjustment of the short-term electricity rates, reduce the level of subsidized consumption to no more than 150 kilowatts per month and match the rate above that consumption.
It adds that the National Energy Commission must lead the sector’s recovery process, to halt the State-owned Electric Utility’s (CDEEE) current role of judge and jury.