The $ 4,377 million represents 22.5% of the gross domestic product (GDP) in 2009.
"The bulk will be hydro generation with $ 2.655 million with a contribution to the electrical grid of about 841 megawatts, half the country's current installed capacity," published Prensa.com. "During this period, investment in power plants using fossil-fuel will only be $ 27 million."
Since litigation began in 2008 regarding the funding of LaGeo, investment plans in El Salvador have ben stalled, but are now coming back into effect.
An article in Laprensagrafica reports that the company Enel will invest $127 million in El Salvador next year as part of the original plan which was based on an agreement with shareholders that the Italian company would provide more capital, in exchange for just over 50% of the shares of the geothermal company LaGeo. This investment plan has been frozen since 2008 after ENEL began arbitration proceedings against ENEL Investment Energy (INE) and the Lempa River Hydroelectric Executive (CEL) because they wouldnt allow the funding.
The loan from the European Investment Bank will finance the improvement of the national electricity transmission network.
The loan will finance the expansion and improvement of energy supply, increasing efficiency, improving service reliability and increasing power generation from renewable sources such as hydro, geothermal and wind.
El Salvador announced a renewable energy investment plan which will increase the share of this type of power to 70% of the energy matrix.
The President of the Executive Hydroelectric Commission of the Lempa River (CEL), Leopoldo Samour, explained that "this will increase energy production by approximately 300 megawatts, coming from use of our natural resources and in order to do this we are planning a global investment of $916 million. "
IDB concessional loan will benefit 1.7 million people and develop new sources of renewable energy, contributes to $381 million multi-donor program
Nicaragua has embarked on a historic program to transform its energy matrix and expand access to electricity among the poor with help from a $30.5 million concessional loan approved on July 7 by the Inter-American Development Bank.
Receive more news about Energy
Suscribe FOR FREE to CentralAmericaDATA EXPRESS.
The most important news of Central America, every day.
Live at the beach in the exclusive Punta Leona Resort, a dream with shaded white sand beach, pools, restaurants, wild life. New affordable, energy efficient home. The house - possibly the only energy efficient green...