The Puerto Rico Department of Consumer Affairs has initiated a constitutional challenge in the Puerto Rico Supreme Court against LUMA Energy, the private company that manages the island's electrical grid, along with several energy regulatory bodies. The case, filed in December 2025 and assigned number CT-2025-0003, centers on fundamental questions about consumer protection and constitutional governance in Puerto Rico's energy sector.
The petitioner, represented by attorney Valerie Rodríguez Erazo, has named as defendants LUMA Energy, LLC and LUMA Energy ServCo, LLC, as well as the Puerto Rico Energy Bureau and the Electric Power Authority. The case has attracted significant attention from multiple stakeholders, with several organizations filing amicus curiae briefs to support their positions.
The Puerto Rico Senate and House of Representatives have joined the case as amici curiae, represented by attorneys Charles A. Rodríguez Colón and Miguel A. Rodríguez Ramos. Their participation signals legislative branch interest in the outcome of this constitutional challenge. Additionally, the Institute for Economic Competitiveness and Sustainability has filed an amicus brief through attorneys Fernando E. Agrait and José Leonardo Pou Román.
Two key regulatory bodies have also participated as amici curiae: the Energy Bureau of the Public Service Regulatory Board, represented by Edgardo L. Rodríguez Cardé and Yarymar González Carrasquillo, and the Independent Consumer Protection Office of the Public Service Regulatory Board, represented by Hannia B. Rivera Díaz and Pedro E. Vázquez Meléndez.
The legal matter addresses two primary constitutional issues that could have far-reaching implications for Puerto Rico's energy governance structure. First, the case examines whether the Department of Consumer Affairs has standing to bring legal action on behalf of consumers against energy companies and regulatory agencies. This question goes to the heart of consumer protection mechanisms in Puerto Rico and could determine the department's authority to challenge utility practices in court.
Second, and perhaps more significantly, the case challenges the constitutionality of immunity or liability exemptions that have been granted to LUMA Energy by administrative entities. The Consumer Affairs Department argues that such immunity grants violate constitutional separation of powers principles, suggesting that administrative agencies lack the authority to provide blanket protection from legal liability to private companies operating public utilities.
LUMA Energy has assembled a substantial legal team to defend against the challenge, with five attorneys representing the company: Frank Torres Viada, José Andreu Fuentes, Margarita Mercado Echegaray, Yahaira De la Rosa Algarín, and Jan M. Albino López. The Electric Power Authority is represented by Juan M. Martínez Nevarez and Mirelis Valle Cancel.
The case emerges against the backdrop of ongoing concerns about Puerto Rico's electrical grid management under LUMA Energy's operation. The private consortium took control of the island's transmission and distribution system in 2021 under a public-private partnership agreement following the bankruptcy of the previous public utility company.
The constitutional questions raised in this case could establish important precedents for utility regulation and consumer protection in Puerto Rico. If the Supreme Court rules that administrative agencies cannot grant immunity to private utility operators, it could fundamentally alter the legal framework governing the island's energy sector.
The Consumer Affairs Department's challenge also tests the boundaries of its enforcement authority. A favorable ruling could strengthen the department's ability to pursue legal action against utility companies on behalf of consumers, potentially providing a more robust check on utility practices and pricing.
The participation of the territorial legislature as amici curiae suggests that lawmakers view this case as having significant implications for the balance of power between different branches of government in Puerto Rico. Their involvement indicates legislative interest in ensuring that administrative agencies do not exceed their constitutional authority when regulating utilities.
The timing of this case, filed in December 2025, comes as Puerto Rico continues to work toward rebuilding and modernizing its electrical infrastructure following years of challenges. The outcome could influence how future utility partnerships are structured and what legal protections or accountability measures apply to private companies operating essential public services.
With multiple regulatory bodies participating as amici curiae, the case has drawn attention from across Puerto Rico's energy governance ecosystem. The Energy Bureau and Independent Consumer Protection Office's participation suggests that even regulatory agencies recognize the constitutional significance of the issues being litigated.
As the case proceeds through the Puerto Rico Supreme Court, it will be closely watched by consumer advocates, utility companies, regulatory agencies, and constitutional law experts. The court's ruling could establish important precedents for utility accountability, consumer protection authority, and the constitutional limits on administrative immunity grants in Puerto Rico's unique territorial legal system.