Possible Delay in Coal Plant in El Salvador

The construction of a coal-based power generation plant, which was scheduled to open early this year, could be delayed further.

Thursday, June 4, 2009


The plant is located on land near La Unión Port and runs the risk of not even being built, depending on the outcome of the tender.

Daniel Choto wrote in an article in Elsalvador.com: "It all depends on the outcome of an international tender that energy distributors have published in order to purchase 320 Mega Watts of power in the form of long-term contracts, said the chairperson of AES Group. It all depends, he said, on the outcome of the tender. If the group’s company that would be bidding wins, construction would have to begin immediately, once the pending municipal permits are obtained, he said."

More on this topic

Further Delays for Energy Investments at La Unión

January 2010

The construction of two power plants at the Port of La Unión, El Salvador, has been delayed again.

One of the plants would use coal and the other natural gas. Investment in both would sum $1.5 billion.

"These projects would add 775 MW to the country's energy production (525 MW by the gas plant and the rest by the coal one)", reported Elsalvador.com.

$600 million for coal plant in El Salvador

September 2008

The cost of the coal plant that the AES Fonseca company will build at the future La Union Port will be some $600 million.

The cost of construction, which is slated to start at the end of January or early February, increased due to high steel prices, according to Neil Watlington, AES Fonseca director.

Nicaragua inaugurates 20-megawatt power plant

June 2008

A new power plant generating 20 megawatts of power was inaugurated on the weekend by President Daniel Ortega.

Blackouts should become rarer with the installation of three made-in-Korea power generation plants in Tipitapa, Masaya and Managua. Once they are all operational, the three will produce another 60 megawatts for the national power grid.

Little Information from Cutuco Energy

July 2011

The company announced that in 2016 the proposed power plant in La Union, El Salvador, would come into operation, but as yet has not indicated the sources of funding or the name of the construction company.

Sources at the Salvadoran National Energy Board told CentralAmericaData.COM that Cutuco Energy Central America has obtained some of the necessary permits for the project, but not all of them, and still does not know where financing will come from. It also noted that the company AES, a global corporation already involved in the country's energy sector, has a similar project planned for installation also in La Union, and that the existence of both projects, involving an investment of about $1000 million each one, does not seem viable.

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AES Changuinola

In late 2005, AES began developing the Changuinola hydro power project and currently the project is in the phase of building the roadways to access that facility. The formal cornerstone laying ceremony took place on October 25, 2007. The project's total completion represents an investment of approximately $563 million and the estimated date for the Changuinola hydro power plant to go into commercial operation is the first quarter of 2011. Through this new facility, AES contributes to the country's development and helps face the growing demand of energy in Panama, which requires an additional 50 MW each year. The construction of the new Changuinola I Hydro Power Plant: * is an asset to Panama * will generate clean and 100% Panamanian energy * will create opportunities for previously excluded populations * will contribute to solve the country's energy situation * will help Panama to continue growing The construction and operation of the hydro power plant will be under the responsibility of AES, a multinational energy corporation with world-class standards and an active presence in Panama.
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