Generators threaten to cut off Fenosa distributors

Nicaraguan power generators have threatened to suspend service to distributors owned by Spain's Union Fenosa because of debts owed to them for power purchases, local press reported. Fenosa has been 60% behind on payment for the last three weeks, Enron Nicaragua manager Cesar Zamora said. Local Fenosa VP Jose Maiz confirmed that debts are US$6.6mn, and said that the amount is not excessive. Maiz also said that the company has asked the regulator, INE, for a rates increase, although he did not say by how much. The request comes at a time when clients feel that Fenosa has been making up charges for "non-registered" power use; consumption that is not registered on the meter. Fenosa controls Nicaraguan distributors Disnorte and Dissur.