Bolivia nationalises Spanish-owned firm
May 2nd, 2012 - 12:30 pm ICT by IANSLa Paz, May 2 (IANS/EFE) Bolivian President Evo Morales announced Tuesday the nationalization of an electricity distributor owned by Spanish utility REE.
“Again on this day, as just tribute to the workers and to the Bolivian people who have struggled for the recovery of natural resources and basic services, we nationalize Transportadora de Electricidad,” the leftist head of state said during a May Day event at the presidential palace.
REE’s 99.94 percent stake in Transportadora de Electricidad will pass to state-owned Empresa Nacional de Electricidad, Morales said, justifying the nationalization by pointing to what he described as the Spanish company’s inadequate investment in its Bolivian operations.
He then asked Bolivia’s armed force chief, Gen. Tito Gandarillas, to effect “the corresponding takeover of the facilities of administration and operation of TDE”.
TDE owns and operates the main Bolivian power grid, which supplies 85 percent of the domestic market for electricity.
La Paz nationalized four electricity producers in 2010, including subsidiaries of French giant GDF Suez and Britain’s Rurelec.
REE management issued a statement expressing regret and surprise over the expropriation and vowing to seek adequate compensation from the Bolivian government.
The Spanish government contacted Bolivian authorities after learning of the nationalization, official sources in Madrid told EFE.
–IANS/EFE
rd
- Bolivia nationalises four power companies - May 02, 2010
- Spanish energy firm to invest $640 mn in Bolivia - Nov 24, 2011
- Bolivia pursues hydro-power deal with China - Jul 30, 2012
- Bolivia to buy satellite from Chinese firm - Dec 14, 2010
- Bolivian minister quits - Sep 29, 2011
- Bolivia to invest nearly $125 mn in power projects - Mar 18, 2010
- Two tonnes of uranium seized in Bolivia - Aug 29, 2012
- Two mn Bolivians suffer severe hunger: UN - Dec 12, 2010
- Bolivia rains: 250 homes collapse in La Paz - Feb 28, 2011
- Bolivian president has knee surgery - Nov 08, 2010
- Bolivia creates space agency for satellite project - Feb 11, 2010
- Bolivian army to sell bread to prevent shortages - Jan 01, 2011
- Bolivian president's car stolen - May 05, 2010
- Bolivia fines Chinese telecom supplier for breach of contract - Dec 23, 2010
- Jindal Steel to exit Bolivia's largest mining project - Jun 11, 2012
Tags: adequate compensation, armed force, bolivian government, bolivian president, electricity distributor, electricity producers, evo morales, expropriation, french giant, gdf suez, head of state, inadequate investment, la paz, may day, nationalization, power grid, president evo morales, spanish company, spanish government, suez