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SDE Ltd agrees settlement after power outage

Power cut. Photo by Johnny Bugeja.

The Government of Gibraltar has reached a settlement with SDE Limited in connection with the recent power outage, the Minister for Utilities, Gemma Arias-Vasquez, has confirmed.

The outage was caused by damage to high-voltage cables during works carried out at Neil Pinero Road, resulting in a Gibraltar-wide power cut lasting several hours.

SDE Limited has agreed to pay £130,900.24 to the Government.

This amount covers the costs incurred by the Gibraltar Electricity Authority in responding to the incident, including emergency labour, repairs, materials and legal expenses, No.6 Convent Place said.

It also includes the Housing Department’s costs for damages to lifts across several housing estates.

The settlement has been agreed without any admission of liability by SDE Limited.

The Government has also received a draft Bill which Mrs Arias Vasquez intends to bring before Parliament shortly.

The legislation will create a new offence for damaging electrical infrastructure and introduce substantial financial penalties for such actions. The Bill is expected to be published this week.

Additionally, the Government will begin a review of the site clearance regime to enhance safety and accountability in works affecting areas with critical public infrastructure.

“The incident was unacceptable and caused serious disruption to our community,” Ms Arias-Vasquez said.

“I know how difficult it was for families and businesses to be left without power for so many hours and while this payment of £130,900.24 does not undo the impact, it ensures that the costs of the Gibraltar Electricity Authority’s response will not be borne by the taxpayer.”

“I welcome this payment and I will proceed, at speed, to introduce new legislation to make damaging electrical infrastructure an offence carrying significant financial penalties.”

“Alongside this, the Government will review the site clearance regime to strengthen safeguards around critical infrastructure.”

“These steps are essential to ensure accountability and to protect Gibraltar from future disruption. I am sure that the people of Gibraltar expect no less.”

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