Motions

 

• By the Leader of Government’s Business:

RESOLUTION TO AFFIRM THE SETTLEMENT OF THE AWARD OF THE INTERNATIONAL CENTRE FOR SETTLEMENT OF INVESTMENT DISPUTES IN CASE NO. ARB/17/13 BETWEEN THE GRENADA PRIVATE POWER LIMITED AND WRB ENTERPRISES, INC AND THE GOVERNMENT OF GRENADA

 

 

WHEREAS on the 19th day of March 2020, the International Centre for Settlement of Investment Disputes (“ICSID”) Arbitration Tribunal in Case No. ARB/17/13 between Grenada Private Power Limited and WRB Enterprises, Inc. as Claimants and the Government of Grenada as Respondent, rendered an Award including the following:

 

1. A declaration that a Repurchase Event occurred within the meaning of the Share Purchase Agreement dated 14 September 1994, namely the 2016 legislative termination of the 80-year monopoly and the substitution of a shorter and narrower period of exclusivity which made the shares in the Grenada Electricity Services Ltd (“GRENLEC”) a fundamentally different investment than in 1994;

 

2. A declaration that Compensation for the repurchase of the Claimants’ shares in the GRENLEC is to be calculated in accordance with the Second Schedule of the Share Purchase Agreement;

 

3. The Government of Grenada is to pay the Claimants Second Schedule Compensation assessed at USD $58,427,962.00;

 

4. The Government of Grenada is to reimburse the Claimants for advances to ICSID in the sum of USD $239,972.37;

 

5. The Government of Grenada is to pay the Claimants’ Attorneys’ Fees and Disbursements in the sum of USD $6,333,142.51;

 

6. The Government of Grenada is to pay pre-Award and post-Award interest on the amount listed in paragraph 3 or the balance outstanding from time to time at the rate fixed from time to time for Grenada 91-day Treasury Bills compounded annually from 3 May 2017 until fully paid.

 

AND WHEREAS on the 3^rd day of December 2020 the Award was registered as a judgment in the Supreme Court of Grenada and West Indies Associated States enforceable within the State of Grenada;

 

AND WHEREAS on the 21^st day of December 2020 the Government of Grenada and the Grenada Private Power Limited and WRB Enterprises Inc (“the WRB Parties”) entered into a Settlement Agreement such that:

 

1. the sum of Sixty-three Million Dollars United States Currency will be paid by the Government of Grenada to the WRB parties in full and final settlement of the Award with the sum of Sixty Million Dollars United States Currency being payable on the 29^th day of December 2020 and the sum of Three Million Dollars United States Currency being payable on or before the 21^st day of December 2022; and

 

2. the WRB Parties will transfer the entirety of their shareholding in GRENLEC a public trading company, that is, 11,703,970 shares, being approximately 61.5998% of the total issued shares of GRENLEC via the Eastern Caribbean Securities Exchange, to the Government of Grenada in full and final settlement of the Award;

 

AND WHEREAS on the 29^th day of December 2020 in accordance with the terms of the Settlement Agreement, the Government of Grenada:

 

1. paid the sum of Sixty Million Dollars United States Currency (USD $60,000,000.00) to the Grenada Private Power Limited and the WRB Enterprises, Inc. through the Eastern Caribbean Securities Exchange; and
2. delivered a Promissory Note for Three Million Dollars United States Currency (USD $3,000,000.00) to be paid on or before the 21^st day of December 2022;

 

AND WHEREAS on the 15^th day of January 2021 the House of Representatives passed a resolution affirming:

1. the Settlement Agreement between the Government of Grenada and the Grenada Private Power Limited and the WRB Enterprises, Inc. dated December 21, 2020 as set out in Schedule I to this Resolution;

 

2. the Promissory Note of the Government of Grenada dated December 21, 2020 as set out in Schedule II to this Resolution;
3. the Waiver and Release between the Government of Grenada and the Grenada Private Power Limited and the WRB Enterprises, Inc dated December 21, 2020 as set out in Schedule III to this Resolution;

 

AND ACKNOWLEDGING that the Public Finance Management Act No. 17 of 2015 does not create a legislative obligation for prior approval of the House of Representatives or the Senate in the case of a payment of judgment debts by a mandatory transfer of shares in a publicly-traded company to the Government of Grenada in the manner mandated by the Award and that it is proper to provide the Senate with the documents forming the Settlement to be affirmed in furtherance of good governance;

 

 

 

NOW THEREFORE BE IT RESOLVED that the Senate hereby affirms:

 

1. the Settlement Agreement between the Government of Grenada and the Grenada Private Power Limited and the WRB Enterprises, Inc. dated December 21, 2020 as set out in Schedule I to this Resolution;
2. the Promissory Note of the Government of Grenada dated December 21, 2020 as set out in Schedule II to this Resolution;
3. the Waiver and Release between the Government of Grenada and the Grenada Private Power Limited and the WRB Enterprises, Inc dated December 21, 2020 as set out in Schedule III to this Resolution.

 

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(b) By the Leader of Government’s Business:

 

RESOLUTION FOR THE PURPOSES OF SECTION 17 (2) (b) OF THE CONSTITUTION

WHEREAS there has been a worldwide outbreak of the coronavirus disease (COVID-19) and on the 11^th day March 2020 the World Health Organisation declared the outbreak a global pandemic;

 

AND WHEREAS on the 22^nd day of March 2020 the Ministry of Health of the Government of Grenada confirmed the first case of COVID-19 in the State of Grenada;

 

AND WHEREAS on the 25^th day of March 2020 the Governor-General by Proclamation pursuant to section 17 of the Constitution declared that a state of emergency existed in the State of Grenada, when Parliament was not sitting;

 

AND WHEREAS on the 30^th day of March 2020 the Governor-General, by a second Proclamation pursuant to section 17 of the Constitution, revoked the first Proclamation and declared that a state of emergency existed in the State of Grenada, when Parliament was not sitting, and on the 17^th day of April 2020 that Proclamation was approved by a resolution of both Houses of Parliament;

 

AND WHEREAS after the expiration of six months the declaration of a state of emergency dated the 30^th day of March 2020 lapsed pursuant to section 17 (5) of the Constitution;

 

AND WHEREAS on the 12^th day of December 2020 the Ministry of Health of the Government of Grenada confirmed that a cluster of twenty-six positive cases of COVID-19 was discovered bringing the total number of active cases of COVID-19 in the State of Grenada to forty-four;

 

AND WHEREAS on the 21^st day of December 2020 the Governor-General, by a third Proclamation pursuant to section 17 of the Constitution, declared that a state of emergency exists in the State of Grenada, when Parliament was not sitting;

 

AND WHEREAS on the 11^th day of January 2021 the Governor-General, by a fourth Proclamation pursuant to section 17 of the Constitution, revoked the third proclamation and declared that a state of emergency exists in the State of Grenada when Parliament was not sitting;

 

AND WHEREAS section 17 (2) (b) of the Constitution provides that, where a declaration is made when Parliament is not sitting, a declaration of emergency shall lapse at the expiration of a period of twenty-one days beginning with the date of publication of the declaration unless it has in the meantime been approved by a resolution of both Houses of Parliament;

 

AND WHEREAS section 17 (5) of the Constitution provides that a resolution of a House of Parliament passed for the purposes of section 17 of the Constitution shall remain in force for six months or such shorter period as may be specified therein;

 

AND WHEREAS the Leader of Government’s Business proposes that the House of Representatives make such a Resolution;

 

NOW THEREFORE BE IT RESOLVED by a majority of all the Members of the Senate that the declaration of emergency by the Governor-General dated the 11^th day of January 2021 as set out in the Schedule to this Resolution is approved for the period ending on the 14^th day of July 2021.