Puerto Rico moves to cancel $300M contract with company hired to repair electrical grid

The contract was given to Whitefish Energy, company based in interior secretary's hometown.
1:55 | 10/29/17

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Transcript for Puerto Rico moves to cancel $300M contract with company hired to repair electrical grid
Next to the breaking developments out of Puerto Rico. Energy officials there in the process of cancelling the controversial contract with a Montana company. The $300 million contract with whitefish energy. Will this development slow down the recovery? Here's Victor Oquendo. Reporter: Tonight, a shock announcement from the governor of hurricane battered Puerto Rico. I have asked the board of the power authority to invoke the cancellation clause in the contract immediately. Reporter: That contract with whitefish energy could soon be scrapped after revelations the Montana power company had just two employees when it was awarded a massive $300 million contract to restore power across the island, and that trump administration interior secretary Ryan zinke hails from the same town the company is based in. Zinke denied any involvement with the deal. Whitefish saying it's disappointed in the decision. The governor calling the contract a distraction. You live right here in your car for the air conditioning? Yes. Reporter: Five weeks after hurricane MARIA and 70% of the island still in darkness. American citizens suffering in sweltering heat. We were there, watching these parents using strips of cardboard to cool off their toddlers. These families sitting outside late into the night to stay cool. Right now, just 29.7% of customers in Puerto Rico have power, just shy of the projected 30% benchmark for tomorrow, October 30th, that the governor announced earlier. But in question, the November 15th deadline of 50% and 95% of power being restored by December 15th. The governor insisting those benchmarks will be met even without whitefish. But the head of the agency that manages electricity on the island says the cancellation could delay work for 10 to 12 weeks. Puerto Rico is now reaching out to New York and Florida under a mutual aid agreement to send their workers to the island to reinforce the grid and get the island up and running again.

This transcript has been automatically generated and may not be 100% accurate.

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