TECO Energy Sues Guatemala

The U.S. Corporation, a former shareholder of Empresa Eléctrica de Guatemala (EEGSA), sued the country before the ICSID in Washington.

Friday, November 26, 2010

The process is similar in its content to the one initiated by Spanish company Iberdrola (also a former shareholder of EEGSA) in December 2009, before the same institution, the International Center for Settlement of Investment Disputes (ICSID).

The multinational corporation argues it had financial losses due to a reduction in the Value Added Distribution price implemented by the National Energy Commission in 2008.

"For now it is unclear the amount claimed by Teco..... pending is also the constitution of the arbitral court, whose members must be nominated by the parties," reports Prensalibre.com.

More on this topic

State of Guatemala vs Teco Energy Litigation

August 2012

A recent ruling by an international tribunal in a dispute between Guatemala and Iberdrola, sets a precedent against the claims of Teco Energy.

The U.S. Corporation Teco Energy, a former shareholder of Empresa Eléctrica de Guatemala (EEGSA), sued Guatemala before the International Centre for Settlement of Investment Disputes (ICSID), in 2010, claiming economic losses caused by a reduction in the Value Added Distribution implemented by the National Energy Commission in 2008.

Lawsuit Between Teco and Guatemala To Be Resolved in 2014

November 2013

For the first quarter of 2014 the Center for International Investment Arbitration could issue a ruling on the suit brought against the Guatemalan State.

This was explained by Silvia Alvarado, director of the National Energy Commission (CNEE).

The company "in 2010 went to the International Centre for Arbitration Relating to Investment Disputes (ICSID) claiming that the State gave an unfair and inequitable treatment by setting the Value Added Distribution (VAD) in 2009 at an amount less than requested by the Empresa Eléctrica de Guatemala S.A. (EEGSA), of which Teco at that time was a shareholder along with the Spanish Iberdrola " reported Elperiodico.com.gt.

State of Guatemala Wins Arbitration Against Iberdrola

August 2012

The International Centre for Settlement of Investment Disputes (ICSID) of the World Bank, has ruled against the claim of the Spanish company Iberdrola against the State of Guatemala.

The lawsuit filed by Iberdrola, a major shareholder and operator of the Empresa Electrica de Guatemala (EEGSA), in late 2009, was due to a disagreement on the rate of Value Added Distribution (VAD), in force since August 2008.

TECO challenges Guatemalan tariff actions

January 2009

TECO Energy Inc. said earnings at its subsidiary in Guatemala have been cut following actions of a Guatemalan regulatory agency.

As publish in bizjournals.com: "The subsidiary, TECO Guatemala Holdings LLC, has filed notice that it will file an arbitration claim against the Republic of Guatemala under the Dominican-Republic-Central America-United States Free Trade Agreement, or DR-CAFTA, TECO said in a filing with the Securities and Exchange Commission. In July, Guatemala’s National Electric Energy Commission unilaterally reset the distribution tariff for Empresa Eléctrica de Guatemala at levels well below the then existing tariff, the filing said. TECO Guatemala Holdings has a 24 percent interest in Empresa through a joint venture, and the action caused a “significant reduction” in earnings for the joint venture segment, the filing said."

 close (x)

Receive more news about Energy

Suscribe FOR FREE to CentralAmericaDATA EXPRESS.
The most important news of Central America, every day.

Type in your e-mail address:

* Al suscribirse, estará aceptando los terminos y condiciones


AES Panamá

AES Panama is the largest electricity generation company in Panama, in terms of installed capacity as well as delivered energy. AES Panama is a subsidiary of AES Corporation, with headquarters in Arlington, Virgina, United States, and holds the 49% of shares in the operations of this generating company. Since late 2007, AES Panama owns four hydroelectric plants with an installed capacity of 482 Megawatts: Bayano (260 MW), Estí (120 MW), La Estrella (47.2 MW), and Los Valles (54.8 MW). Our main clients are the three energy distribution companies in Panama: Elektra Noreste, S.A., Empresa de Distribución Eléctrica Metro-Oeste, S.A., and Empresa de Distribución Eléctrica Chiriquí, S.A., which represent the 95% of the company’s energy sales. The remaining 5% corresponds to energy sales to Great Costumers, which are businesses with monthly energy consumption greater than 100 kilowatts.
Operates in Panama
Phone: (507) 206-2652

Company Profile

Stock Indexes

(Dec 8)
Dow Jones
0.33%
S&P 500
0.22%
Nasdaq
0.44%

Commodities

(Dec 9)
Brent Crude Oil
54.81
Coffee "C"
141.40
Gold
1,168
Silver
16.980