Summary

In the Supreme Court of Grenada and the West Indies Associated States

Claim No GDAHCV 2018-0063

IN THE MATTER OF SECTION 20 OF THE ELECTRICITY SUPPLY (AMENDMENT) ACT: NO. 33 OF 2017
IN THE MATTER OF SECTIONS 1, 6 AND 16 OF THE CONSTITUTION OF GRENADA
and
IN THE MATTER OF THE SUPREME COURT (CONSTITUTIONAL REDRESS GRENADA) RULES 1968
BETWEEN:
GRENADA ELECTRICITY SERVICES LIMITED
and
THE ATTORNEY GENERAL OF GRENADA

DECISION

The applicant in these proceedings is the Government of Grenada ("the Government"). It has applied to the court to stay a constitutional claim filed against it by the Grenada Electricity Services Limited ("GRENLEC").

i. A declaration against the Government that section 20 of the Electricity Supply (Amendment) Act No. 33 of 2017("ESA 2017") violates or will violate GRENLEC's right to have its property compulsory acquired pursuant to section 6(1) of the Constitution of Grenada, and is therefore null and void;

ii. A declaration against the Government that the requirement set out in the ESA 2017 that every network licensee (GRENLEC being the only such licensee in the State) shall pay five percent (5%) of its pre-tax profit every financial year to the Social Fund is or will be an unlawful compulsory appropriation of GRENLEC's property without constitutional authority therefor.

[3] On 2nd May 2018, the Government filed an affidavit in response to GRENLEC's claim in which it, inter alia, denied much of the factual allegations made by GRENLEC and stated further that the 5% imposition is a levy imposed consistent with section 6 (6) (a) (1) of the Constitution.

[4] On 3rd May 2018, the first hearing of GRENLEC's claim took place before Dyer J, where both parties were represented and a case management hearing was conducted. After hearing the parties, the learned judge gave directions for trial.

[5] On 26th June 2018, the Government filed the present stay application asking the court for a stay of GRENLEC's claim pursuant to section 7 of the Arbitration Act 1989 ("the Act"), section 7(1) of the West Indies Associated States Supreme Court Act and/or Rule 26.1 (2) (q) of the Civil Procedure Rules, and/or the inherent jurisdiction of the Court until determination of Grenada Private Power Limited and WRB Enterprises, Inc. v. Grenada ICSID Case No. ARB/17/13.

[6] The Government says that GRENLEC's claim should be stayed for the following reasons -

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