Canal Gestión will “defend its investment on Lanzarote using legal and criminal avenues”, according to a Minister in Madrid’s Parliament.
The statement came on Thursday after Alejandro Sánchez, of the Más Madrid party, asked a question in the parliament of the Community of Madrid, enquiring what effect the termination of the water contract by Lanzarote’s Cabildo would have on Madrid residents. Canal Gestíon is a private company operated by Madrid’s public water company Canal de Isabel II.
Madrid’s Minister of Environment, Agriculture and Interior, Carlos Novillo, answered that Lanzarote’s Cabildo had been “breaching the contract for years and have made a completely wrong decision.”
Sánchez responded by pointing out that Canal Gestión “has lost more than €80 million euros in thirteen years of management; has had to borrow more than €150 million euros from Madrid; and more than half of the desalinated water continues to be lost because the network is not in good condition”.
Novillo replied that his government’s duty was “to defend the rights of the people of Madrid where they are attacked, as the Cabildo of Lanzarote has done”. He added that the company would be seeking compensation of €40 million in unpaid water tariffs.
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