Home » Posts tagged 'puerto rico' (Page 2)

Tag Archives: puerto rico

There is no possibility of eliminating corruption in government.

The idea of having government assist after a natural disaster sounds great. It makes us feel good. Houston floods? Send millions. New Orleans floods? Send hundreds of millions. Puerto Rico? The place is a mess and needs billions and billions. It all seems right.

The great truth about government is that every penny it spends must come from somewhere and must land somewhere else.

Until you look at the details. Someone gets the money. Whether they are the same institutions who actually do the reconstruction is another matter. And what kind of relief they provide is still another question. Other people’s money usually works this way. Look closely enough and you find corruption at every level.I recall living in a town hit by a hurricane many years ago. The town mayor instructed people not to clean up yet because FEMA was coming to town. To get the maximum cash infusion, the inspectors needed to see terrible things. When the money finally arrived, it went to the largest real estate developers, who promptly used it to clear cut land for new housing developments. That’s some nice capital if you can get it.

And now we have the remarkable case of Whitefish Energy. It’s a good example of how a website can make anything seem awesome. You would never know by looking at the impressive digital space that this is a father/son business. That’s right: just two employees.

It does seem highly strange that this desktop operation in Montana would be awarded a $300 million contract to rebuild the electrical grid in Puerto Rico. That sounds outrageous. But guess what? This is a day and a half of disaster relief spending.

…click on the above link to read the rest of the article…

Museletter #305: Puerto Rico is our Future

October 28, 2017

Museletter #305: Puerto Rico is our Future

Download printable PDF version here (PDF, 93KB)

My hometown of Santa Rosa, California, and surrounding communities were decimated by wildfires during the week of October 9, with entire neighborhoods completely erased. If you want a sense of how bad the fires were, watch this 11-minute video clip put together by three Berkeley firefighters. For a more personal view of the consequences of the fires, check out this webcomic accountby the husband of the Sonoma County Director of Human Services (the couple lost their home). My wife Janet and I voluntarily evacuated our house at 4am on October 10 (we were just outside a mandatory evacuation zone), after bundling our four sleepy chickens into the back of our car. We were among the fortunate ones: we were able to return home late that same day. Meanwhile 19 residents of Santa Rosa had lost their lives (the death toll throughout the region stands at over 40) and hundreds—including many of our friends as well as a former Post Carbon Institute employee and her family—had lost homes and belongings. We’re glad to be spared, and wish the best for those not so fortunate.
Richard

Puerto Rico is our Future

News reports tell of the devastation left by a direct hit from Category 4 Hurricane Maria. Puerto Ricans already coping with damage from Hurricane Irma, which grazed the island just days before, were slammed with an even stronger storm on September 20, bringing more than a foot of rain and maximum sustained winds of at least 140 miles per hour. There is still no electricity—and likely won’t be for weeks or months—in this U.S. territory of 3.4 million people, many of whom also lack running water. Phone and internet service is likewise gone. Nearly all of Puerto Rico’s greenery has been blown away, including trees and food crops.

…click on the above link to read the rest of the article…

Disaster Capitalists Take Big Step Toward Privatizing Puerto Rico’s Electric Grid

October 26, 2017

A Puerto Rico Electric Power Authority (PREPA) employee fixes power lines in Santurce, San Juan, Puerto Rico, on Thursday, Oct. 19, 2017. For longer than most can remember, Puerto Ricans have paid some of the highest energy costs in the U.S. to a notoriously unreliable utility that neglected their grid for years and runs fossil-fuel plants that may be damaging their lungs. A month after Hurricane Maria devastated the island, power lines still lay slack along roads, utility poles are snapped clean in half, and most Puerto Ricans remain in the dark. Photographer: Xavier Garcia/Bloomberg via Getty Images

DISASTER CAPITALISTS TAKE BIG STEP TOWARD PRIVATIZING PUERTO RICO’S ELECTRIC GRID

THE BOARD THAT oversees Puerto Rico’s finances has taken its most conspicuous step toward privatizing the island’s power grid, a long sought-after prize that has been put on a plate by Hurricane Maria.

The federally appointed control board announced that it intends to putthe Puerto Rico Electric Power Authority, or Prepa — the island’s sole, beleaguered power utility — under the direction of an emergency manager.

That manager will be Noel Zamot, who will become Prepa’s “chief transformation officer.” Zamot, who is Puerto Rican, is a known entity to the control board. It appointed him this summer to serve on its executive committee as the revitalization coordinator. His role mainly involved attracting private investment under Title V of PROMESA, a provision allowing for an expedited social and environmental review of major infrastructure projects. Since that time, he’s been in charge of something called the Critical Projects Process, soliciting proposals from a slew of private actors. As of mid-September, Zamot had fielded 12 proposals according to his Twitter, many of which have to do with energy infrastructure.

His first job will be to help return electricity to around 80 percent of Puerto Ricans still without power following the storm. His second could be turning that power over to private hands, a pattern described by The Intercept’s Naomi Klein as the “shock doctrine.”

Months before either hurricanes Maria or Irma struck, the board had been enthusiastic about the prospect of privatizing Prepa, which is $9 billion in debt. Oversight board chair José B. Carrión III was explicit about one of Zamot’s main goals shortly after he was brought on: to “privatize the Electric Power Authority as soon as possible,” as he told the Puerto Rican newspaper Metro at the end of August.

…click on the above link to read the rest of the article…

Puerto Rico Without Electricity, Wifi, ATMs Shows Importance of Cash, Gold and Silver

October 14, 2017

– Most of Puerto Rico remains in the dark and without power three weeks after storm
– With widespread power failures, Puerto Rico remains cash only with retailers only accepting cash and few consumer having cash
– Shortages of food, fuel and medicine with infrastructure repairs delayed
– Power could be ‘out for months’ as 85% of people remain off the grid
– Around 75% of ATMs disconnected
– Electronic forms of payment including bitcoin have been rendered non viable
– Puerto Rico’s accidental ‘cashless society’ shows risks of cashless society and importance of holding cash, gold and silver out of the financial and digital systems

Aerial photo of flooding in Puerto Rico. Washington Post

Puerto Rico has been destroyed by two savage hurricanes which have plunged the island into darkness and despair. The landscape of ruined homes and entire towns resembles Hiroshima after the man made disaster of a nuclear bomb being dropped on the city.

More than three weeks since Hurricane Maria hit the island, 3.7 million American citizens are on the precipice of a humanitarian disaster. The majority of these people are desperate for food, water, electricity and shelter. They are desperate for cash that will allow them to secure these basic necessities.

Over 84% of the island remains without power and 37% of people are without access to water. Without power, much of the population is does not have electricity to charge their phones and iphones. Very few have wifi and this is severely impacting their ability to communicate and conduct their lives.

Inevitably, the future of Puerto Rico now lies in the wrangling hands of government and financial organisations, all of which seem to be pointing the finger of blame at one another.

…click on the above link to read the rest of the article…

Number Of Puerto Rico Residents Without Clean Water And Electricity Keeps Rising

October 11, 2017

Number Of Puerto Rico Residents Without Clean Water And Electricity Keeps Rising

A lone car provides the only source of light in devastated Puerto Rico city of Utuado.

A lone car provides the only source of light in the devastated Puerto Rico city of Utuado.

In the wake of Hurricane Maria’s wrath, Puerto Rico remains devastated. Newest reports from the island territory now show that the number of residents without clean drinking water and electricity continues to rise, despite humanitarian efforts.

Puerto Rico’s government has reported that roughly 10 percent of the islands 3.4 million United States citizens are without electricity Tuesday morning, an increase of about six percent from Monday.

The island’s electrical grid was all but completely destroyed during Hurricane Maria, and many are still struggling without the most basic of necessities. This news comes just one day after Puerto Rico’s Governor Ricardo Rossello asked the federal government for an additional $4.6 billion in funding beyond the Trump administration’s request last week for $29 billion from Congress for relief efforts.

“Puerto Rico has experienced a natural disaster of a magnitude not seen in over a century, and we are doing everything possible to address the needs of the American citizens of Puerto Rico during this time of crisis,” Rosselló wrote. “However, the unprecedented level of destruction, coupled with the almost complete shut-down of business in Puerto Rico, have made it impossible for us to meet the considerable human needs without the measures proposed above,” he added.

The White House also announced Monday that it would allow a 10-day waiver temporarily blocking the Jones Act to expire. This is devastating news for those living in Puerto Rico, as foreign ships can no longer bring aid to the hurricane-ravaged island from U.S. ports.

Officials still expect it to be six more months before electricity can be fully restored to Puerto Rico. As the days have become weeks, the weeks will become months, and survival will get more difficult.

…click on the above link to read the rest of the article…

In a Cashless World, You’d Better Pray the Power Never Goes Out

October 11, 2017

In a Cashless World, You’d Better Pray the Power Never Goes Out

When Hurricane Maria knocked out power in Puerto Rico, residents there realized they were going to need physical cash — and a lot of it.

Bloomberg reported yesterday that the Fed was forced to fly a planeload of cash to the Island to help avert disaster:

William Dudley, the New York Fed president, put the word out within minutes, and ultimately a jet loaded with an undisclosed amount of cash landed on the stricken island…

[Business executive in Puerto Rico] described corporate clients’ urgent requests for hundreds of thousands in cash to meet payrolls, and the challenge of finding enough armored cars to satisfy endless demand at ATMs. Such were the days after Maria devastated the U.S. territory last month, killing 39 people, crushing buildings and wiping out the island’s energy grid. As early as the day after the storm, the Fed began working to get money onto the island,

For a time, unless one had a hoard of cash stored up in one’s home, it was impossible to get cash at all. 85 percent of Puerto Rico is still without power, as of October 9. Bloomberg continues: “When some generator-powered ATMs finally opened, lines stretched hours long, with people camping out in beach chairs and holding umbrellas against the sun.”

In an earlier article from September 25, Bloomberg noted how, without cash, necessities were simply unavailable:

“Cash only,” said Abraham Lebron, the store manager standing guard at Supermax, a supermarket in San Juan’s Plaza de las Armas. He was in a well-policed area, but admitted feeling like a sitting duck with so many bills on hand. “The system is down, so we can’t process the cards. It’s tough, but one finds a way to make it work.”

…click on the above link to read the rest of the article…

Kyle Bass Sounds Off On “Worthless” Puerto Rican Debt, The Crypto “Gold Rush”, And Guns

October 8, 2017

Kyle Bass Sounds Off On “Worthless” Puerto Rican Debt, The Crypto “Gold Rush”, And Guns

With the dollar’s recent post-Fed bout of appreciation providing some much-needed relief for Haymarket Capital’s P&L, its founder Kyle Bass sat for an interview on Friday with Bloomberg’s Erik Schatzker. During the 20 minute discussion, Bass expounded on the importance of holding gold, his cautiously optimistic view on digital currencies, the misguided notion that holders of Puerto Rican debt will someday be made whole – oh, and Bass’s next big call: Long Greece – particularly the stocks and debt of Greek banks.

A few weeks ago, Bloomberg view published a Bass-penned editorial in which the hedge fund founder and CIO called on the IMF to stop bullying Greece – publicizing the fact that he is now effectively long Greece. Greek government bonds have performed reasonably well so far this year: They’re up about 16%.

And if Bass is right, they could have another 20% to 30% over the next 18 months if the IMF abandons its insistence on austerity and acknowledges that debt relief will need to be part of the long-term alleviation of debt. Bass added that, in the near future, voters will elect a more business-friendly government that will help reestablish the country’s creditworthiness, much like the government of Mauricio Macri did for Argentina.

I think you also have an interesting political situation in Greece where I think there’s going to be a handoff from the current Syriza government to kind of a more slightly-center-right but very economically independent new leadership in the next, call it, 18 months.

And so, I think you asked why now? And I think you’re starting to see green shoots. You’re starting to see the banks do the right things finally in Greece and you are about to have new leadership.

…click on the above link to read the rest of the article…

The Spiraling Crisis of Puerto Rico

October 6, 2017

The Spiraling Crisis of Puerto Rico

Puerto Rico’s infrastructure, which already faced severe pressures because of the U.S. territory’s huge debt and demands from its creditor, has now been devastated by Hurricane Maria, as Dennis J Bernstein reports.

Though President Trump bragged about the relatively low death toll from Hurricane Maria — 16 at the time of his visit on Tuesday — the number soon jumped to 34 and was expected to rise much more when isolated hospitals could finally report in.

Many of the island’s 59 hospitals were cut off from power and half the island’s 3.4 million inhabitants lacked safe drinking water. The continuing crisis reflected a slow response from the federal government.

A devastated area in San Juan, Puerto Rico in the aftermath left by Hurricane Maria, Sept. 23, 2017. (Puerto Rico National Guard photo by Sgt. Jose Ahiram Diaz-Ramos)

Puerto Rican Jewish feminist writer, poet, and activist Aurora Levins Morales is a nationally known Puerto activist. In the following interview, Morales expressed her outrage at Trump’s racist response to the Puerto Rican hurricane disaster.

Morales is the author of Medicine Stories, Remedios: Stories of Earth and Iron from the History of Puertorriqueñas, and Kindling: Writings On the Body, and co-authored two books with her mother, Rosario Morales.

She created the Vehicle for Change project to research, design, fund and build her chemically accessible mobile home, and is currently traveling around the United States writing about the confluence of ecology, health and social justice struggles for her radio blog Letters from Earth, broadcast on Flashpoints on Pacifica Radio. She writes and performs with Sins Invalid, a Bay Area disability justice performance project. I spoke to Morales on October 2.

Dennis Bernstein: Aurora Levins Morales has been watching the situation very closely. This is your homeland and you must be heartbroken.

…click on the above link to read the rest of the article…

Puerto Rico is on Track for Historic Debt Forgiveness–Unless Wall Street Gets Its Way

October 5, 2017

COROZAL, PUERTO RICO - SEPTEMBER 27: Irma Maldanado stands with Sussury her parrot and her dog in what is left of her home that was destroyed when Hurricane Maria passed through on September 27, 2017 in Corozal, Puerto Rico. Puerto Rico experienced widespread damage including most of the electrical, gas and water grid as well as agriculture after Hurricane Maria, a category 4 hurricane, passed through. (Photo by Joe Raedle/Getty Images)

PUERTO RICO IS ON TRACK FOR HISTORIC DEBT FORGIVENESS — UNLESS WALL STREET GETS ITS WAY

FOR BONDHOLDERS SITTING on Puerto Rican debt, Hurricane Maria may have come just when they needed it, just as a yearslong battle over the fate of the island’s financial future was beginning to turn against them. Or, depending on how the politics shake out, they could see their entire bet go south.

Ahead of Maria, the federally appointed fiscal oversight board now in control of Puerto Rico’s finances had developed a plan that would wipe out 79 percent of the island’s annual debt payments, taking a massive chunk out of the payday hedge funds had been hoping to land from the island.

In the wake of the storm, that fight could go one of two ways: Advocates for Puerto Rico are making the case that the devastation means that 79 percent should be ratcheted up all the way to a full debt cancellation. The hedge funds, meanwhile, see an opening to attack the oversight board and reclaim ownership of the process.

While Congress focuses on the size and shape of the relief package, the battle over the much larger debt — at least $74 billion — is being overshadowed. As hedge funds attempt to undermine the board’s legitimacy in the courts, resentment toward the board from a different end of the political spectrum has made the body unpopular for entirely different reasons: It’s colonial and undemocratic. The difference between the two? The left wants debt relief for Puerto Ricans. Many bondholders want the opposite.

…click on the above link to read the rest of the article…

In Maria’s Wake, Could Puerto Rico Go Totally Green?

October 2, 2017

In Maria’s Wake, Could Puerto Rico Go Totally Green?

The ecological and humanitarian destruction of Puerto Rico has left the world aghast. But there is a hopeful green-powered opportunity in this disaster that could vastly improve the island’s future while offering the world a critical showcase for a sane energy future.

By all accounts Hurricane Maria has leveled much of the island, and literally left it in the dark. Puerto Rico’s electrical grid has been extensively damaged, with no prospects for a return to conventionally generated and distributed power for months to come.

In response Donald Trump has scolded the island for it’s massive debt, and waited a full week after the storm hit to lift a shipping restriction requiring all incoming goods to be carried on US-flagged ships. (That restriction is largely responsible for the island’s economic problems in the first place.)

The Puerto Rico Electric Power Authority is a state-owned operation that hosts a number of solar and wind farms, as well as a network of hydroelectric dams. But the bulk of its energy supply has come from heavy industrial oil, diesel and gas burners. It also burns coal imported from Colombia at a plant in Guyama.

The fossil burners themselves apparently were left mostly undamaged by Maria. But the delivery system, a traditional network of above-ground poles and wires, has essentially been obliterated. Power authority officials say it could take at least 4-6 months to rebuild that network.

And of course, there is no guaranteeing such a pole-and-wire set-up would not then be obliterated by the next storm.

Among the most serious casualties have been the island’s hospitals. According to reports, 58 of Puerto Rico’s 69 medical facilities have been blacked out. At least two people died when intensive care units went dark.

…click on the above link to read the rest of the article…

Puerto Rico: When the electricity stops

October 1, 2017

Puerto Rico: When the electricity stops

When the electricity stops in modern civilization, pretty much everything else stops. Not even gasoline-powered vehicles can get far before they are obliged to seek a fill-up—which they cannot get because gas pumps rely on electricity to operate.

When I wrote “The storms are only going to get worse” three weeks ago, I thought the world would have to wait quite a while for a storm more devastating than hurricanes Harvey and Irma. But instead, Hurricane Maria followed right after them and shut down electricity on the entire island of Puerto Rico except for those buildings with on-site generators.

Another casualty was drinking water because, of course, in almost every location, it must be moved using pumps powered by electricity. In addition, the reason we remain uncertain of the full scope of the damage and danger on the island is that the communications system (powered by electricity, of course) failed almost completely.

The Associated Press reported that as of September 30, 10 days after Maria’s landfall, about 30 percent of telecommunications had been restored, 60 percent of the gas stations were able to dispense fuel and half of the supermarkets were open.

Presumably, these figures represent mostly urban areas where any single act of repair can restore services to many more people than in the countryside where conditions by all accounts remain desperate.

Unless power is restored soon to those areas still without it, many of life’s daily necessities—food, water, medicine—will remain beyond reach for substantial portions of Puerto Rico’s residents. The consequences of this are both predictable and dire. But the expectations are that weeks and months may pass before electricity again reaches the entire island.

…click on the above link to read the rest of the article…

Catalonia and other Disasters

October 1, 2017

Catalonia and other Disasters

I’ve seen a lot of videos and photos of the Catalonia attempt to hold a referendum today (Tyler has a “nice” series of them), and what struck me most of all, apart from the senseless violence police forces were seen to engage in, is the lack of violence on the side of protesters.

So when I see the Interior Ministry claim that 11 policemen were injured, That is hard to take serious. Not that the Catalans had no reason to resist or even fight back. That hundreds of protesters, including scores of grandma’s, are injured is obvious from watching the videos. Since rubber bullets were used in large numbers, fatal injuries are quite possible.

Policemen hitting peaceful older ladies till they bleed is shocking, and we are all shocked. Many of us will be surprised too, but we shouldn’t be. Spain is still the land of Franco, and his followers continue to exert great influence in politics, police and military. And it’s not just them: one video from Madrid showed people singing a fascist theme from the France era.

That’s the shape the EU knowingly accepted Spain as a member in, and that shape has hardly changed since. The total silence from Brussels, and from all its capitals, speaks volumes. Belgian PM Michel said earlier today that he doesn’t want to talk about other countries’ politics, and that’s more than I’ve seen anyone else say. It’s of course a piece of gross cowardly nonsense, both Michel’s statement and the silence from all others.

Because this very much concerns the EU. As Julian Assange tweeted “Dear @JunckerEU. Is this “respect for human dignity, freedom and democracy”? Activate article 7 and suspend Spain from the European Union for its clear violation of Article 2.” (Article 7 of the European Union Treaty: “Suspension of any Member State that uses military force on its own population.”)

…click on the above link to read the rest of the article…

“What Are We Going To Do?” Puerto Rico In Chaos As Cash Runs Out

September 28, 2017

“What Are We Going To Do?” Puerto Rico In Chaos As Cash Runs Out

Most Puerto Ricans haven’t had access to electricity, cell service or financial services for nearly two weeks now. And as we reported yesterday, residents who didn’t stockpile enough cash have been struggling after Hurricane Maria essentially knocked the island’s economy into the 1950s, forcing some to forgo essential supplies – or worse – resort to looting. For those who do have access to working ATMs and banks, long lines have sapped cash reserves as the country has effectively reverted to a “cash only” economy.

Those whose access to cash has been limited – or cut off entirely – are becoming desperate as they start to wonder how they will begin the process of rebuilding their trashed homes – or even where their next meal will come from. As Reuters reports, cash has become just one of many scarce resources on the island (food, medical supplies and gas are also in incredibly short supply).

With electricity and internet down in Yauco, southwestern Puerto Rico, Nancy and Caesar Nieve said they could not access paychecks directly deposited into their bank accounts.

“What are we going to do when we don’t have any cash? The little cash we have, we have to save for gas,” said Nancy.

Cash demand spiked in the first few days after the hurricane as merchants were unable to accept other modes of payment. First BanCorp, one of the island’s largest banks, said that nearly two-thirds of its 48 branches remained closed, and that electronic transactions had resumed at only 25% of its ATMs.

Apparently, word of these privations made its way back to the New York Fed, which has assured the world via the Wall Street Journal that the central bank has plenty of physical cash to keep banks on the island stocked for the forseeable future – lowering the likelihood that anybody will suffer for lack of access to cash.

…click on the above link to read the rest of the article…

Puerto Rico is our Future

September 28, 2017

Puerto Rico is our Future

Climate change no doubt played a role in the disaster, as warmer water generally feeds stronger storms. This season has seen a greater number of powerful, land-falling storms than the past few years combined. Four were Category 4 or 5, and three of them made landfall in the U.S.—a unique event in modern records. Puerto Rico is also vulnerable to rising seas: since 2010, average sea levels have increased at a rate of about 1 centimeter (0.4 inches) per year. And the process is accelerating, leading to erosion that’s devastating coastal communities.

Even before the storms, Puerto Rico’s economy was in a tailspin. It depends largely on manufacturing and the service industry, notably tourism, but the prospects for both are dismal. The island’s population is shrinking as more and more people seek opportunities in the continental U.S.. Puerto Rico depends entirely on imported energy sources—including bunker oil for some of its electricity production, plus natural gas and coal.

…click on the above link to read the rest of the article…

Puerto Rico Debt Holders Respond to Catastrophic Hurricane by Offering Puerto Rico More Debt

September 27, 2017

HAYALES DE COAMO, PUERTO RICO - SEPTEMBER 24: Telesforo Menendez surveys the damage in his neighborhood September 24, 2017 in Hayales de Coamo, Puerto Rico. Puerto Rico experienced widespread damage after Hurricane Maria, a category 4 hurricane, passed through. (Photo by Joe Raedle/Getty Images)

PUERTO RICAN DEBT HOLDERS RESPOND TO CATASTROPHIC HURRICANE BY OFFERING PUERTO RICO MORE DEBT

PUERTO RICO, FACING absolute devastation after Hurricane Maria barreled through last week, desperately needs immediate funding to restore critical infrastructure, particularly its hobbled electric grid. The entire island — home to over 3.5 million American citizens, roughly equivalent to the state of Connecticut — lost power, and satellite imagery shows how little electricity has come back. This affects not only electricity and telecommunications service but access to clean water, as many pumping stations run on the same grid.

A group of bondholders, who own a portion of Puerto Rico’s massive $72 billion debt, has proposed what they are calling relief — but in the form of a loan. So they’re offering a territory mired in debt the chance to take on more debt.

The announcement came after The Intercept spent two days reaching out to 51 of Puerto Rico’s known creditors, asking them if they would support a moratorium or cancellation of debt payments for the island, given the humanitarian crisis. Prior to this announcement, only three of the 51 creditors had so much as donated relief funds to charity or offered sympathy for island residents, all of them banks who actually have to face consumers, and so are a bit more adept at handling public relations. No creditor had supported debt relief.

Of the 51 creditors contacted by The Intercept, only Citibank, Goldman Sachs, and Scotiabank have pledged no-strings-attached money for Puerto Rico and other Caribbean islands, in the form of donations to relief organizations totaling $1.25 million. Citi has also waived certain fees for citizens within disaster zones.

…click on the above link to read the rest of the article…

Tag Archives: puerto rico

Content

Post categories

Economic Links

Energy/Resource Links

Environmental Links

Geopolitical Links

Liberty Links

News Links

Other Links

Survival Skills

Post Archives by Category

Post navigation

Latest Posts