Puerto Rico’s electric utility needs $1B loan, only $300M approved

Puerto Rico’s federal judge has approved a loan of $300 million for its national electric utility, Puerto Rico’s Electric Power Authority (PREPA).

PREPA lost two-thirds of its power distribution system after Hurricane Maria hit the island in September 2017, and its initial request of a $1 billion loan was rejected, reports Newsy.

Governor Ricardo Rosselló maintains that the island still needs a $1 billion loan, and a federal control board said the $300 million will only keep PREPA operational until late March.

Rosselló recently announced Puerto Rico is privatizing its electric utility as a way to attract businesses to the island and create more affordable rates.

About 20 percent of PREPA’s customers are currently without electricity.

Source: Newsy