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Puerto Rico Refers Power Expectations Contract to Justice, Federal Authorities

Move comes after Enchanted Rock says its name and signature were used without its authorization

Energy & Oil·By Eva Llorens··4 min read
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Puerto Rico’s Public‑Private Partnerships Authority (P3A) and the Office of the Energy Czar have formally referred allegations surrounding the Power Expectations temporary generation contract to the Puerto Rico Department of Justice and federal authorities, escalating a controversy that has already stalled the island’s most critical emergency‑generation project and triggered multiple regulatory reviews.

His announcement comes a day after Osvaldo Carlo, head of the Third-Party Procurement Office, said he had already referred the matter to federal authorities, as reported by Caribbean Business.

The referral, announced August 13, concerns allegations that the name and signature of Enchanted Rock, LLC—now ERock—were used without authorization during the competitive procurement for 400 megawatts of temporary generation at Aguirre. The contract, signed June 10, 2026, was awarded to a consortium composed of Power Expectations, Enchanted Rock and Reyes Construction under RFP No. 3PPO‑0314‑20‑TPG2.

Energy Czar and P3A Executive Director Josué Colón said the government acted immediately upon receiving the allegations. “Any allegation of fraud, falsification, unauthorized use of a signature or any other possible irregularity related to a public contracting process has to be investigated with seriousness and to its ultimate consequences,” Colón said. He emphasized that the referral does not constitute a finding of criminal conduct but rather places the matter in the hands of authorities with investigative jurisdiction.

The allegations were first raised on June 16 by the law firm O’Neill & Borges, representing ERock and the Financial Oversight and Management Board (FOMB). According to P3A, the matter was referred that same day to Carlo for a full review of the procurement record, fact‑finding and recommendations. Representatives of Enchanted Rock were placed in direct communication with 3PPO to provide documentation and evidence.

Carlo later confirmed that the matter had been referred to federal authorities and said he tracked Jhoby Weaks, the individual whose name appears on the contract, to Colorado, though attempts to reach him have been unsuccessful. Caribbean Business attempted to contact Weaks at the email address listed in the contract, but the message bounced, suggesting the address is inactive or incorrect.

The FOMB has already warned that it is considering revoking its approval of the Power Expectations contract after ERock told the Board its name and signature were used “without our authorization.” The Board said Enchanted Rock’s participation was a critical factor in determining that the consortium had the technical and financial capacity to deliver the project. Without ERock, the remaining entities lacked utility‑scale experience and sufficient financial strength.

PREPA later confirmed that Enchanted Rock was replaced by Flotek Industries, a Texas‑based public company, shortly after execution. But 57 days after the contract was signed, PREPA reported no installation work, no completed milestones and no delivery of the required $1.18 billion performance bond.

The referral comes as the Puerto Rico Energy Bureau issued a sweeping Resolution and Order requiring LUMA Energy, Genera PR and PREPA to reconcile conflicting information about the island’s 800 MW of temporary emergency generation and produce firm dates for when each contracted block will be available.

Genera reported in July that the 800 MW “remains pending procurement by 3PPO,” while PREPA stated that the Oversight Board had conditionally approved contracts for Power Expectations and Gotham on May 8, that Power Expectations’ contract was executed June 10, and that Gotham and Javelin remain under review. The Bureau said it now requires a single, verified account of how much emergency generation is actually under contract and what conditions remain outstanding.

The Bureau also cited repeated load‑shedding events in July—including failures at Costa Sur Unit 6, San Juan Unit 6, EcoEléctrica and Aguirre Unit 2—that affected more than 377,000 customers at their peak. It warned that failure to comply with its order could result in administrative fines of up to $25,000 per day.

The Power Expectations contract has become the focal point of Puerto Rico’s emergency‑generation strategy, yet remains stalled amid allegations of unauthorized signatures, questions about financial capacity, and the withdrawal of a key consortium member. The government insists its investigation began weeks before the Oversight Board’s letter, while regulators now demand firm timelines for all emergency‑generation projects.

With federal authorities now involved, Flotek Industries newly substituted into the contract, and the Energy Bureau pressing for definitive dates, the future of the 400 MW project—and Puerto Rico’s broader stabilization plan—remains uncertain.

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