Moises Pineda said that after pointing out that it is not the first time the Dominican Republic faces an investment in which a sovereign guarantee is requested, said that "it has to be seen very carefully."
He said the country will continue facing this type of request while it has an energy deficit originating from the distributor's low billing and citizens who do ont pay for the service. "That is always going to be weighing on the vision of the investor, who will be requiring the guarantees. It is necessary to se if it is not linked and to analyze it and try to change it...it is important to know the reasons why the investors are promoting the sovereign guarantees."
Pineda said that an important strategy that must be taken into accout in the electric sector is to determine what the energy demand is going to be in the next few years. He said that's the only way to know if that demand requires a generation of a private or semi-private character, and whether the guarantee is included.
The Inter American Development Bank's representative said coal plants are not the country's only alternatives to solve the problem of the cost of energy, and that first the issue of collections for the service must be solved.




The Inter American Development Banks representative in the Dominican Republic said yesterday that society as a whole must get involved in the State owned electrical conglomerate's proposal regading the coal fired plants and learn of the contract's details.


