Regional Electricity Market Progresses in Central America

The electricity sector's authorities have put together a series of concrete actions that should make the regional market a reality by the end of 2011.

Friday, August 27, 2010

During the meeting organized by the Inter-American Development Bank (IDB) in San Jose, Costa Rica, energy ministers, electrical power generating organizations and regulators from across Central America reaffirmed their commitment to speeding up the process of harmonizing the region's legal frameworks in order to bring about energy integration.

The Regional Electricity Market (MER in Spanish) is made possible by Central America's Electrical Interconnection system (known as SIEPAC in Spanish), which has led to the construction of a 1,800 km power grid network across Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica, and Panama. So far the infrastructure required is 93% complete.

More on this topic

An Efficient Regional Energy Market

October 2012

A regional legal framework is required that will allow for long-term contracts, not only between countries but also between plants located in one country selling power to another.

Central America’s electrical integration requires not only enabling the Electrical Interconnection System but also an appropriate regional framework.

New Partners for Regional Electricity Market

August 2013

Mexico and Colombia could be the next countries to be incorporated into the Electrical Interconnection System for Central American Countries.

The issue will be discussed during a three-day meeting which Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica and Panama, countries associated with the Electric Interconnection System for Central American Countries, (Siepac), will have this week.

Costa Rica: The Missing Link for Electrical Interconnection

March 2013

Due to problems with easement acquisition, Costa Rica is the only country that has not completed the Electrical Interconnection System for Central America.

Data from Proyecto Mesoamérica, the organization coordinating the Electrical Interconnection System for Central America (SIEPAC), revealed that up to February 28, Costa Rica had completed 84% of the project (foundations, lifting of structure and laying of electrical conductor).

Regional Electric Integration In June 2011

February 2010

Siepac, Central America’s Electric Interconnection system, is 85% ready.

This project should go live in June 2011, with 1.800 kilometers of 230 kV transmission lines.

“When ready, electricity distribution companies will be able to buy energy at a regional level, and generation companies will be able to sell to any country requiring it”, reported Prensa.com.

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