El Salvador: Tender for 350MW Declared Void

The process was unable to be completed after the withdrawal of offers from firms with capacity to generate electricity required.

Monday, March 19, 2012

The company DelSur on Monday declared void the tender for the generation of 350 MW, equivalent to one third of the El Salvador’s national demand, which it had planned to contract out for 15 years from 2016.

For this process, 11 companies received the documentation for participation, including geothermal companies. At the approval stage only three companies were qualified: AES, Cutuco and EMCE El Salvador, reports Laprensagrafica.com.

Two major projects that could have provided this amound of power generation, did not bid. AES had already announced it would withdraw from the bidding process due to an ordinance by the municipality of La Union which prohibits the construction and operation of power plants (based on petroleum, coal or gas). AES Fonseca wants to build a plant based natural gas. There was also a supply of 362MW, with 342 available for this contract, but the participant exceeded the ceiling price set by the Superintendency of Electricity and Telecommunications (SIGET).

The bidding process will restart in 30 days.



More on this topic

El Salvador : More than $900 million for Natural Gas Plant

November 2013

The consortium Quantum-GLU would be the winner of a long-term contract to supply 335 MW generated from a power plant that would be built by the company.

A statement from the National Energy Board reads:

The electricity distribution company DELSUR has made public the financial bids offered by two companies who submitted documents for the tender for 355 megawatts (MW) of power and associated energy, namely: Asocio Quantum-GLU and AES Fonseca Energía, who on October 1 submitted the information required to participate in the tender for the supply of power for 20 years.

El Salvador: Tender For 350 MW

January 2013

The new tender for the generation and supply of 350 MW has so far involved three companies, one of which is new to the market.

Elsalvador.com reports that "DelSur’s CEO, Roberto Gonzalez, confirmed yesterday that three companies are interested in participating in the new tender for the project to generate 350 megawatts (MW) of energy and have already bought the documents.

Next Energy Procurement in El Salvador

April 2012

The tender for the purchase of 350MW for 15 years has to be repeated after having been declared void on the first occasion, and for the fourth time there will be a competition for the provision of 70MW for 5 years.

The Superintendency of Electricity and Telecommunications (SIGET) must provide new tender condition documents, dealing with the main obstacle in previous contests, limiting bids to suppliers of electricity generated by renewable resources, exclusively gas or coal.

El Salvador Receives Bids for Tender for 350MW

March 2012

On Monday March 19th bids will be opened for the tender for the procurement of 350MW, equivalent to one third of domestic consumption, for a period of 15 years.

The contract is being administered by the distributor DelSur, which belongs to the Colombian company EPM, but the energy will be acquired by this distributor as well as the distributors AES El Salvador: CAESS, EEO, CLESA, and DEUSEM.

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