Company denies insinuations of fraud or misrepresentation
Power Expectations, LLC issued a rebuttal Monday to mounting allegations of fraud and misrepresentation regarding its 400-megawatt temporary generation procurement, defending its role in the project just days after the Financial Oversight and Management Board revoked the contract’s approval and ordered the Puerto Rico Electric Power Authority to terminate it.
In a lengthy statement, CEO Eddie Echevarría said the company “categorically rejects any insinuation of fraud or misrepresentation,” and insisted that its participation in the procurement was “transparent, documented and conducted through official channels.” The remarks come as the company faces the most serious challenge to its business operations since entering Puerto Rico’s energy market.
The Oversight Board’s August 14 decision effectively voided the $5.9 billion, 10-year agreement, citing ERock Inc.’s declaration that its name and signature were used without authorization. Enchanted Rock’s participation had been the linchpin of the consortium’s technical and financial credibility. Without it, the Board said, the procurement was “irreparably impaired,” noting that Power Expectations lacked the capacity to execute the project on its own.
The revocation capped weeks of escalating scrutiny. The Public‑Private Partnerships Authority and Energy Czar Josué Colón had already referred the matter to the Puerto Rico Department of Justice and federal authorities on June 16, the same day O’Neill & Borges, representing Enchanted Rock and the Oversight Board, raised concerns about the signature. Third‑Party Procurement Office director Osvaldo Carlo conducted an internal review and later confirmed that the matter had been referred to federal investigators. Carlo also said he tracked Jhoby Weaks, the individual whose name appears as the signatory on behalf of Enchanted Rock in the contract, to Colorado, though attempts to reach him were unsuccessful. Caribbean Business attempted to contact Weaks at the email address listed in the contract, but the message bounced.
Against that backdrop, Power Expectations is now attempting to reframe the narrative. Echevarría said the company maintained a 15‑month commercial relationship with Enchanted Rock, describing it as both a consortium partnership and a sales‑representation agreement that made Power Expectations Enchanted Rock’s exclusive representative in Puerto Rico and the Caribbean. He said Enchanted Rock CEO Thomas McAndrew signed the consortium’s operational agreement, provided financial guarantees, executed bid‑bond documents and participated in “dozens of meetings” with PREPA, LUMA, Genera PR and 3PPO.
“It is surprising that no one validated our relationship with Thomas and instead sought out an entity like ERock, which has nothing to do with us,” Echevarría said, calling ERock’s public statement “false, malicious and illegal.”
Power Expectations also defended its decision to substitute Enchanted Rock with Flotek Industries after Enchanted Rock informally expressed its intention to withdraw from the project. Echevarría said Flotek’s financial strength and 40‑year operating history made it the most capable replacement. PREPA later confirmed the substitution, but the Oversight Board said the change did not resolve the underlying deficiencies in the procurement record.
The company also pushed back against public commentary about the contract’s value, arguing that Power Expectations—not PREPA—was responsible for an estimated $1 billion investment in the project. Echevarría said PREPA is not obligated to purchase the energy produced and prohibits Power Expectations from selling unused energy to other entities, calling the terms “highly risky” and “adverse” to the company.
Power Expectations said it is still awaiting final language from PREPA on the construction‑phase performance bond, which it says it will submit despite PREPA making no financial investment in the project.
The company signaled that further legal action may be forthcoming. Echevarría said Power Expectations’ legal counsel has advised limiting public statements about Enchanted Rock and potential claims against third parties who “attempted to interfere” with the company’s contractual relationships.
“We understand the urgency of the country’s energy needs and the responsibility this project carries,” Echevarría said. “Our letter of introduction will be producing 400 megawatts of energy to support system stability. That is why we invite everyone to examine the entire record: every document, every signature and every communication. The facts speak for themselves.”
For now, the facts are being examined by multiple authorities. The Oversight Board has revoked the contract. The government has referred the matter to state and federal investigators. And the Energy Bureau has ordered LUMA, Genera and PREPA to reconcile conflicting information about the island’s 800 MW emergency‑generation portfolio and produce firm dates for when each block of capacity will be available.
Power Expectations insists it is still prepared to deliver. Whether Puerto Rico’s regulators and the power utility will allow it to do so is now a question for investigators, not the marketplace.
