Dominica: Nation to acquire 52% of controlling interest in DOMLEC

The Government of the Commonwealth of Dominica will be acquiring around 52 percent of the controlling interest of Dominica Electricity Services Inc. (DOMLEC) from March 31, 2022 (Thursday).

Dominica: Nation to acquire 52% of controlling interest in DOMLEC
Dominica: Nation to acquire 52% of controlling interest in DOMLEC

Dominica: The Government of the Commonwealth of Dominica will be acquiring around 52 percent of the controlling interest of Dominica Electricity Services Inc. (DOMLEC) from March 31, 2022 (Thursday).

This deal was made following months of negotiations with the power company Emera Inc. Prime Minister Dr Roosevelt Skerrit made the announcement during a nation address on March 30, 2022 (Wednesday).

Prime Minister stated, “I now have the privilege to announce that the Dominican Government will, on March 31, 2022, sign an agreement with Emera Inc. to purchase its 52 percent stake in DOMLEC. This means that from April 1, 2022, the Government and People of Dominica will once more hold controlling interest in DOMLEC.”

“The partnership of the Government of Dominica and DOMLEC will help the nation complete the goal to build resilience in the sector through deliberate action to improve energy security and strengthen growth and economic prospects. As part of our vision for a Dynamic Dominica, we are pursuing greater efficiency in electricity generation to meet our national target of 100% clean, carbon neutral energy by the year 2030.”

PM Skerrit had mentioned that this signing would rectify the wrongdoing by the United Workers Party (UWP) Government in 1997 when it sold the company to a foreign investor at the cost of $21 Million.

Prime Minister Skerrit stated that this decision by the government was widely viewed as ill-advised. He further noted that this decision was indeed against the interest of the electricity consumption of the country.

The Prime Minister outlined, “Now, the government is optimized that this interest in ownership will help the government in a better serving of the main utilities, such as water and electricity, to its citizens. I am glad that the supply is in the hands of the State”.

The leader further extended thanks to Emera Inc. for an amicable and productive partnership. He further invited the support and collaboration of the Dominican people in the production of more resilient and sustainable energy infrastructure and the provision of affordable, reliable electricity for all citizens and residents.

Apart from Dominica’s Government, Dominica Social Security owns 21 percent, and private investors hold 27 percent.

For now, Dominica Electricity Services Limited (DOMLEC) provides electricity to more than 35,300 customers in the Commonwealth of Dominica.