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HIGH COURT RULES FOR ANGLEC

January 3, 2023
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Seawater Reverse Osmosis Facility at Crocus Bay

In a release by Klass FM 92.9 news, DJ Hammer announced that the Eastern Caribbean Supreme Court, Anguilla, High Court heard an application made by fuel supplier Delta Petroleum Anguilla Limited (Delta) against the Anguilla Electricity Company Limited (ANGLEC) in open court proceedings on Tuesday, July 26, 2022.

The release noted that the initial dispute between the two entities arose out of a fuel supply agreement entered into in June 2016 for three (3) years. In December 2019, the agreement was terminated by ANGLEC leading to allegations of a breach of the Agreement. This led to a claim being filed against ANGLEC by Delta and an injunction was imposed. The parties entered into a Settlement Agreement on this issue in October 2021, and the injunction was discharged and the claim was discontinued.

A further dispute then arose out of the tender process, whereby Delta made allegations against ANGLEC about how the the first and second tender processes had been conducted. This, then resulted in another application being filed by Delta for an injunction against the tender process, in March 2022.
In August 2021, the government of Anguilla had implemented new legislation to regulate procurement and included ANGLEC along with its statutory bodies. It is this framework that now governs and regulates the tender process.

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The issue before the High Court on Tuesday was whether the injunction should continue against ANGLEC, thereby restricting its ability to engage in a tender process for a new fuel supply agreement.

Recently instructed lead counsel, Mrs. Tana’ania Small-Davis, Queens Counsel, represented ANGLEC in the Court hearing. Present on behalf of ANGLEC were newly appointed CEO, Mr. Sutcliffe Hodge, and CFO, Mr. Peter Lamontagne.

The learned judge, Hon. Justice Ermin Moise, formed the opinion – having heard full arguments – that the injunction is to be discharged against ANGLEC.

During a brief interview with DJ Hammer on July 27, CEO Hodge added that, “While the matter is not out of the Court – because the cause of action was advanced to the Court – the matter is still alive. Hopefully, behind the scenes, both parties can agree to dismiss the case and not proceed further to Court with it.

The judge’s opinion on Tuesday, means that ANGLEC is now free to proceed with its tender process for a new fuel supply agreement. The deadline date for submissions to be made by all tenderers is July 29, 2022.

“By the end of the workday on Friday, July 2022, we should know who the new fuel supplier will be. That could very well be Delta again, but it would come about in a fair, open and transparent process – which is what the Court believes is on offer at the moment to prospective bidders,” Mr Hodge concluded.

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