Canal Gestión Lanzarote threatens to take legal action if the Consortium terminates the contract

The company in charge of managing the integral water cycle responds to the announcement of the Cabildo de Lanzarote, where it denounced breaches

April 10 2025 (12:48 WEST)
Updated in April 10 2025 (15:59 WEST)
Canal Gestión, Lanzarote. Photo: Juan Mateos
Canal Gestión, Lanzarote. Photo: Juan Mateos

The company in charge of managing the integral water cycle Canal Gestión de Lanzarote has threatened to initiate legal actions against the Water Consortium and "any authority or official" in the event that the extraordinary assembly scheduled for April 10 approves the termination of the contract for the water service, as the Cabildo de Lanzarote announced a few days ago. This is what La Voz has learned exclusively.

In this sense, the company alleges that it was the Water Consortium of Lanzarote that did not make the necessary investments or carry out the price review that had been agreed in the contract. In this case, Canal Gestión already appealed to the Courts to achieve the increase in water rates on the island that local administrations have denied, as reported by La Voz last March.

"The failure to comply with the investment commitment by the Water Consortium makes the effort made by Canal Gestión Lanzarote ineffective: it should not be forgotten that the Consortium is the owner of the water distribution networks and, therefore, responsible for investment in renovation and new infrastructure," Canal Gestión said in a statement issued later on Thursday afternoon.

This situation occurs after Mariano González Sáez, CEO of Canal Isabel II, the parent company of Canal Gestión Lanzarote, announced in a commission of the Community of Madrid that he wanted to "divest" in the subsidiaries of the group outside the Spanish capital due to the continuous economic losses. Canal Isabel II accumulates debts of 200 million euros in the different subsidiaries of the group in Latin America and Lanzarote.

Likewise, Canal Gestión has accused the Water Consortium of not providing the report on which it relies to initiate this procedure and in which the Cabildo itself stated that "serious breaches" were included. Thus, the company has stated that this situation is causing it "defenselessness."

Finally, the company in charge of the service has stated that it "continues working to offer the best possible service to users" and demands "seriousness, transparency and commitment, values ​​typical of Canal Gestión Lanzarote and its workers and that guide and have guided the actions of our company at all times."

Oswaldo Betancort and Domingo Cejas at the Assembly of the Island Water Council.
Urgent assembly called to resolve Canal Gestión's contract due to serious breaches
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