Enel Generación Chile ratifies its commitment to work in conjunction with the community of Coronel

Published on Monday, 18 March 2019

Enel Generación Chile ratifies its commitment to work in conjunction with the community of Coronel
  • The company informed the community of its desire to maintain and promote the mutual collaboration relationship, through projects and programs for the area’s social, cultural, and environmental development.
  • The generating company reported compliance with the agreements signed with artisanal fishermen, seaweed collectors, charque (dried salted meat) manufacturers, marine workers, and other institutions in 2013 and 2014.
  • The 2014 agreement included the provision of annual fees of US$ 23 million for 2,039 fishermen, between 2014 and 2019.
  • In 2018, Enel was notified by the Coronel Court of a precautionary measure requested by the fishermen's lawyers, Alex Quevedo and Lorenzo Soto, regarding the payment of fees allegedly owed to them by more than 860 fishermen.

Coronel, March 18, 2019- By means of a letter sent to all the artisanal fishermen of Coronel, Enel Generación Chile informed about the status of the 2014 agreement, and of the Company’s compliance to date with the beneficiaries. The company explained that it has made an investment of US$ 400 million, dedicated to the four points of the agreement: improvements in the environmental performance of Bocamina; relocation - by public-private agreement of approximately 700 families-; construction of green areas; provision of an annual fee of $180 million to the CorCoronel municipal corporation; provision of annual bonuses to 2,039 artisanal fishermen, seaweed collectors, charque manufacturers, and marine workers, represented in 19 unions, who have received a total amount of more than $14,000 million. The last payment will be paid by the end of March 2019.

In 2018, Enel was notified of the Coronel Court’s ruling, in relation to a precautionary measure requested by the lawyers, Alex Quevedo and Lorenzo Soto, to order the company to withhold an approximate amount of $440 million pesos, originally intended for fishermen who were beneficiaries of the agreement. Such precaution was granted in the context of a lawsuit filed by the lawyers against a group of approximately 870 fishermen, out of the 2,039 in the agreement, for non-payment of fees.

Enel is neither a plaintiff nor a defendant in this process. The company did not participate in the determination of the defendants and does not have the authority to order or manage notifications of this information.

In relation to compliance with the agreement, the company invested around $130 billion pesos in improvements to the Bocamina generation complex, raising its environmental standards and turning the plant into a model in Latin America.

The resettlement plan carried out by the firm, in the framework of the public-private agreement between the ministry of housing and the company, has involved more than a thousand families in the district, and an investment in new housing in established neighborhoods with full access to services.

In addition, an investment of $230 million pesos per year was defined for the plant’s useful life for the Contest Fund directed to independently-executed enterprises, which to date, has strengthened 180 ventures. Along the same line, there are annual funds of $180 million pesos earmarked for the development of Coronel’s cultural, economic, social, and sports activities, through the Coronel Municipal Development Corporation, CORCORONEL.

Enel Generacion Chile, today, works on a community relations model focused on local development, centering on the provision of tools and skills for the implementation of projects aimed at sustainable growth and the vocation of the territory.

The current participatory round table with the various unions of artisanal fishermen is dedicated to designing plans, programs, and actions that promote the sustainability of the productive sector. The company values and wishes to invest in this possibility of constructive dialogue in which points of convergence can be defined to jointly contribute to the development of artisanal fishing through specific projects, just as it started a few months ago.