Guatemala: Prices of Energy from Bagasse

A request by sugar mills to equate the prices of energy produced from bagasse with that generated by coal has been rejected.  

Thursday, February 27, 2014

Guatemala's sugar mills asked that within their cost methodology from May 1st 2014 to April 30th 2015 for biomass generation to be indexed to the price of Puerto Bolivar coal (Colombia). However, the National Energy Commission (CNEE) rejected the request.

The CNEE explained that "the sugar mills can only report within their variable costs the expenditure that represents their use of this waste product to produce electricity."

" ... The costs a generator may include in their methodology are set out in Article 44 of the Regulations of the Wholesale Market Administrator (AMM). Under that provision, the mills can declare as a minimum their operating and maintenance costs," said Carmen Urízar, president of the CNEE.

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