GRENLEC: THE FACTS THEY DON’T WANT YOU TO KNOW

Since 1994, when the Government decided to sell half of GRENLEC, Keith Mitchell, Gregory Bowen, and their NNP turned a good policy and financial decision into a political one. The sale of GRENLEC should never have been a political one but Mitchell and Bowen made it so because two of them were part of the reason why GRENLEC had to be sold. Here are the undeniable facts:

  1. GRENLEC was established in 1960 as the SOLE generator and distributor of electricity throughout Grenada. From day 1, GRENLEC was ALWAYS a monopoly.
  2. Between 1960 and 1994, the Government of Grenada owned 100% of the company.
  3. Workers at GRENLEC always received a share of the profits.
  4. Between 1985 and 1995, Gregory Bowen was the General Manager of GRENLEC.
  5. Between 1985 and 1989, Keith Mitchell was the Minister of Works & Public Utilities. GRENLEC was his direct responsibility. 
  6. There were lots of reports of corruption and mismanagement at GRENLEC and other Government entities that were under Keith Mitchell’s ministry.  
  7. Prime Minister Herbert Blaize, Keith Mitchell’s boss, FIRED Mitchell as Minister of Works in 1989. 
  8. Keith Mitchell’s boss launched an investigation that found widespread mismanagement and corruption in GRENLEC. 
  9. The company was in debt by over $10 million. That is the same $23 million today.  
  10. All GRENLEC’s equipment were old and run down. Bowen bought 2-second hand generators for over $3 million. They never worked. 
  11. Current went every day for many hours all over Grenada. Don’t talk about Carriacou and PM! Blackouts and load shedding were the norm. That negatively affected the business community, the healthcare sector, tourism; every aspect of life.
  12. GRENLEC depended on a $2 million bank overdraft to pay workers. Workers could not get their share of profits because there were NO profits.
  13. The investigation showed that Mitchell and Bowen were responsible for the sorry state of GRENLEC. It’s all in the Worrell Report. 
  14. Keith and Bowen have been vexed ever since that investigation exposed them as the culprits for GRENLEC’S woes. 
  15. The NDC inherited a blacklisted, bankrupt economy from the NNP in 1990.
  16. It had no choice but to invite investors to buy some shares in GRENLEC. GRENLEC was bankrupt, the economy was bankrupt. The money had to come from somewhere to turn around GRENLEC. Even the World Bank recommended the sale. Read it in paragraphs 50 to 53 of the judgment.
  17. In negotiating the sale, NDC made sure that everything was transparent for all to see. 
  18. Fifty percent (50%) of GRENLEC were offered for sale by open bids. WRB Enterprises won the bid fair and square. No hanky-panky, no secret deals, nothing under the table for anyone.    
  19. WRB bought half of GRENLEC for $15 million. That was the BEST Government could get for the bankrupt, run-down company. It was a good deal. Period. Read it in paragraphs 63 & 64 of the judgment.
  20. NNP SEALED THE DEAL in October 1998 after they tried between 1995 and 1998, but failed to strike a better deal with WRB.
  21. The Government kept 10%, NIS bought 11% and the other 29% of GRENLEC was offered to ordinary Grenadians. 
  22. GRENLEC remained a monopoly just as it had been since 1960. 
  23. WRB was trying to quickly turn GRENLEC around. They kept on the staff including BOWEN. He could not make the grade, so they FIRED him. He joined Mitchell as part of the FIRED crew.
  24. That is where their hatred and vendetta against GRENLEC come from.  They have been out for revenge ever since and they don’t care how much it costs the people of Grenada.
  25. WRB turned GRENLEC around 100% to one of the best-run utility companies in the Caribbean. Businesses and the entire economy benefit from reliable electricity. 
  26. Keith & Bowen kept suing WRB/GRENLEC and they kept losing. Every time they lost, we the people pay!
  27. The last and biggest loss was the judgment of the International Centre of Settlement of Investment Disputes (ICSID) in March 2020.
  28. They don’t care and they don’t listen. The IMF warned them in 2018 that a ruling against Grenada in the case would be a threat to the “gains” made under the Structural Adjustment Program.
  29. They lost the case badly. The court threw out EVERY SINGLE allegation they made against WRB/GRENLEC. The same lies and baseless allegations they continue to shamelessly repeat.  
  30. For instance, we do not have the highest electricity rates in the OECS. Our rates are the same as the other islands. Read it in paragraph 132 of the judgment. 
  31. Because of a senseless vendetta, we had to pay over $200 million to WRB and their lawyers!
  32. In 2013, WRB offered to sell ALL the shares they and affiliate companies owned for EC8.27 a share, totaling about US$35 million (EC$94 million). Mitchell and Bowen REFUSED, saying the country could not afford that. We know better, it was because all they wanted was a battle to get revenge. Read it in paragraph 87 of the judgment. 
  33. Mitchell, Bowen, and NNP refused to pay $94 million and were then FORCED to buy back the shares at over EC$200 million because they lost the case badly. They are now bold-facedly bragging that they did something good! They have no respect for the people of Grenada.
  34. Where did they get this $200+ from? 
  35. They are lying when they say the money came from capital projects. There are no capital projects left undone from 2020 that amount to US$63 million. Are they afraid to tell us the true source of the money? Have they sold us out again? 
  36. If they can find US$63 million to satisfy their personal revenge for being exposed and fired, why can’t they find EC$13 million to pay teachers and public servants? 
  37. Mitchell and Bowen have recklessly derailed the budget and plunged us deeper into poverty and hardship. Grenada needs to be rescued from these wreckers of our homeland. 

FOR GRENADA TO GROW, NNP MUST GO!