WILLEMSTAD - On June 8, 2023, Refineria di Korsou (RdK) entered into a lease agreement with Global Oil Management Group (Global Oil), granting the latter rights to operate the GT9 and GT10 units for the production of electricity essential for its asphalt production in Emmastad. Shortly thereafter, Global Oil, as the new operator of these units, initiated negotiations with Aqualectra to secure additional capacity needed to meet Curaçao’s round-the-clock electricity demand.
However, these negotiations have hit an avoidable impasse, posing potential negative consequences for local electricity consumers if the issue remains unresolved. RdK and Aqualectra promptly informed the government of the situation, prompting immediate action from Prime Minister Pisas, who is responsible for RdK. Recognizing the critical need for government intervention to prevent an escalation, Prime Minister Pisas engaged with Global Oil to seek a resolution that safeguards the nation's interests and ensures the stability of electricity supply.
Prime Minister Pisas communicated to Global Oil that the Government has tasked the Regulatory Authority Curaçao (RAC), which oversees the energy market in Curaçao, with investigating the current situation. RAC is expected to deliver its findings and recommendations to the Council of Ministers promptly, enabling necessary decisions to be made within one month. To mitigate immediate risks, Prime Minister Pisas requested Global Oil to defer any planned actions until early September, ensuring the continued production of electricity on the island.
Global Oil has agreed to this request, allowing the Government the needed time to develop a viable solution to the impasse. This agreement provides a temporary reprieve, during which the Government will explore acceptable options for all involved parties. Prime Minister Pisas has also directed RdK, the owner of the units leased to Global Oil, to closely monitor the ongoing negotiations between Aqualectra and Global Oil to ensure they proceed smoothly and effectively.
In a final appeal, Prime Minister Pisas called on all stakeholders and the people of Curaçao to remain calm and maintain tranquility while efforts to resolve the situation are underway. This collaborative approach aims to protect the public interest and ensure the reliability of electricity services in Curaçao.