Following the decision of Angostura Siguas – belonging to the Cobra group – to terminate the concession contract for Majes Siguas II, the firm announced that the damages amount to US $ 220 million in the eleven years of the relationship, and they reserve the right to claim the payment of any obligation for the damages generated by the breach of the contractual obligations of the State.
It is worth noting that an elementary factor behind this panorama is the neglect of the Arequipa Regional Council, which did not sign Addendum 13 – which seeks to modernize the irrigation system and was endorsed by the MEF, Proinversión and the Comptroller’s Office – and whose deadline was last December 30th.
Will
According to Luis Caballero, president of the Arequipa Chamber of Commerce, there is willingness of the concessionaire to resume the project.
The expiration of the contract will last six months, and if in that time the Regional Council signs the addendum, Majes Siguas II would be reactivated immediately. Caballero adds that he has volunteered as a mediator.
Likewise, the mayor of Arequipa, Omar Candia, requested the intervention of the Presidency of the Council of Ministers (PCM) so that the concessionaire agrees to extend the term and approve Addendum 13. For the mayor, it is not the time to look for those responsible despite to which the region is put close to an arbitration process.
About, the Minister of Justice, Aníbal Torres, proposes that the resolution of conflicts such as Majes Siguas II be given automatically. “If the company has breached, the contract is terminated and it is not referred to arbitration or the judge. Rather, it is automatically resolved. The work is liquidated up to where it was executed and there it is restarted with another concessionaire or through the mechanisms that the State has to take charge of the execution of that work. We would end this situation that many works in the country are paralyzed, “he noted.
The data
Position. Councilors José Luis Hancco and Elmer Pinto consider that the letter sent by Angostura Siguas only seeks to pressure them. This Thursday the 13th they will install their group to set new work dates, while they wait for documentation from Autodema (Autonomous Authority of Majes).
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