El Salvador: New Impetus for Renewable Energy

The modification of the regulatory framework for power generation will make the use of renewable energy more flexible.

Thursday, July 14, 2011

Through these changes renewable energy participation quotas will be granted to the electricity market, which will boost the development of this fledgling industry in the country.

Electricity industry representatives believe that these changes will serve to give greater strength to the market which in previous years was not able to make progress for various reasons, they say.

Obstacles which have impeded progress in the market so far, and those that the new regulations are expected to eliminate include lack of commercial tools encouraging this type of energy production and the high costs of connection, among other things.

An article in Elmundo.com.sv notes: "Amendments to the regulatory bodies are not made without first consulting the agencies involved in the electricity market”

The process began in January and SIGET, generators and electricity distributors endorsed changes to enhance projects of up to 20 megawatts of renewable power generation.

The director of renewable resources of the CNE, Mario Rodriguez, explained that the projects will be developed in communities far away from metropolitan areas in order to generate development there.

The advantage of the new regulatory framework for the promotion of renewable energy is that projects in communities will start as soon as the executive decree comes into force.

More on this topic

El Salvador: Tender for 150 MW of Renewable Energy

August 2015

It has been announced that by the end of the year the specifications to tender the supply of 150 MW in renewable energy will be ready.

From a statement issued by the Agency for Export and Investment Promotion of El Salvador (PROESA):

The Export and Investment Promotion Agency of El Salvador (PROESA) chaired the announcement by the National Energy Council (CNE) that a new bidding process will be started for the procurement of 150 Megawatts (MW) of power focusing on projects based on unconventional renewable sources and exclusive participation in the wholesale market.

Small Generators May Bid In Tender

August 2013

Small scale power facilities will be allowed to bid in a tender to provide 15 MW of renewable energy.

The Superintendency of Electricity and Telecommunications (Siget), the National Energy Council (CNE) and electricity distribution companies announced the provisions and requirements for developers who generate up to 1,000 kW to connect to the network of distributors and deliver energy.

New Regulation for Renewable Energy Generators

May 2012

The National Energy Board of El Salvador has approved a Regulatory Framework for the Promotion of Renewable Energies.

From a press release from the Salvadoran Association of Industrialists (ASI):

In order to continue promoting power generation using renewable energy sources, the National Energy Council (CNE in Spanish) has revealed the adoption of a Regulatory Framework for the Promotion of Renewable Energy which will generate the policies and regulatory and financial measures needed to attract investment in these technologies.

Current Legislation Blocks Investment in Renewable Energy

February 2012

The Manufacturers Association of El Salvador is urging the Government to make changes to the legal framework that regulates the electrical system.

The current legislation does not give priority to supplying the system with power generated from renewable sources, limiting investment in such projects.