Velázquez Statement on Potential Increases in Electricity Rates for Puerto Ricans
Washington, D.C.— Today, Congresswoman Nydia M. Velázquez issued the following statement after the Financial Oversight and Management Board (FOMB) for Puerto Rico issued a budgetary requirement mandating increases in the base electricity rate for Puerto Rican consumers:
“In recent weeks, blackouts in Puerto Rico left hundreds of thousands of residents without power amid a dangerous heat wave, putting lives at risk and crippling the island’s economy. The outages have showcased the ongoing failure of private operators like LUMA to supply the island with a reliable electrical system. Even the FOMB letter highlights that LUMA underperformed in FY24 according to service reliability metrics.
“Given the high physical, emotional, and economic toll that power outages have placed on Puerto Ricans, it is unconscionable that the FOMB would attempt to raise rates for customers. Puerto Rico residents, with a median household income less than half that of the poorest U.S. state, already pay some of the highest electricity rates in the country. The Puerto Rican people cannot bear another rate increase. This decision would only push more people and businesses off the island.
“What we need is accountability for the operators of the electrical grid. The public should not pay for LUMA’s continued incompetence. It is illogical to funnel more money from struggling Puerto Ricans to fund a failed public-private partnership. Instead, we must consider imposing penalties on LUMA and begin exploring alternatives to the current arrangement.”
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