During 2019, electricity purchase and sale transactions between Central American countries amounted to 3,074 GWh, a 14% increase compared to 2018.
Figures from the Regional Operating Entity (EOR) show that the average price recorded in regional transactions during 2018 and 2019 also increased, going from $74.05 per MWh to $90.11 per MWh.
Using a web platform with key information from all of the markets in the region and the Dominican Republic, Central American stock exchanges propose reviving the plan to create a truly integrated regional market.
Once again authorities at stock exchanges in Central American countries and the Dominican Republic have put back on the table the plan to integrate the stock markets in each each country into a single regional one.
It has been estimated that $200 million need to be invested in Central American countries to strengthen the transmission capacity of the regional electricity market.
A study prepared at the request of the Wholesale Market Manager of Guatemala (AMM) details that for the regional market to operate in a comprehensive way, countries must invest more in order to improve transmission capacity.According to Edgar Navarro, president of the AMM, this investment should be concentrated in Nicaragua, Honduras, El Salvador and Costa Rica.
Negotiations have started to evaluate alternatives for integrating the Mexican electricity market into Siepac.
Salvador Lopez, temporary president of the Electric Interconnection System for Central American Countries (SIEPAC) told Prensalibre.com that in the meeting they will start to assess the legal mechanisms that could be used to realize the integration.
The State of the Region indicates that the asymmetries between the most regulated markets such as Costa Rica and others that are freer such as Guatemala and El Salvador constitute an obstacle to progress of the regional market.
Regional Integration section, the V Report on the State of the Region:
The regional electricity market in the agenda of the integration process
A new regulation will allow for regional energy transactions to be made by auction in annual installments.
Operators subscribed to the Electrical Interconnection System for Central American Countries (SIEPAC) will have a policy to regulate contracts and firm energy rights for term contracts of up to one year, through means of the Regional Electricity Integration Comission (CRIE ).
Construction has been announced of a regional market in Guanacaste, including 36 stalls for fruits and vegetables, 16 for basic grains and meats 7 bitemperated storage cupboards and 2 freezer tunnels.
From a statement issued by the Presidency of the Republic:
The Legislative Assembly approved in the first debate, the bill to fund the Chorotega Regional Market which will benefit 400,000 inhabitants of the 11 cantons of Guanacaste and Alajuela Upala in the towns of Paquera, Jicaral, Cóbano and Lepanto Puntarenas.
A proposal has been made for the region to standardize the criteria for patenting so that it has the same validity and is treated in the same way in each of the Central American countries.
Meeting in Panama, patent experts and government representatives reviewed the Manual for Processing Patent Applications, with the aim of unifying the various laws on registrations in order to facilitate the work of companies that have to deal with different rules, times and procedures to register their patents in countries in Central America.
Starting October the Regional Electric Interconnection Commission will implement a pilot program to authorize priority supply contracts and reduce the cost of energy exports.
In the absence of long-term contracts for regional energy transactions, the Regional Electric Interconnection Comission "... asked the Regional Operator Entity (EOR by its initials in Spanish) to conduct studies to identify the levels of maximum power transfer for each country and for supply contracts to be authorized according to priority in order to reduce the cost of energy exports. "
While state power company ICE produced energy in March with a maximum marginal cost of $468 MW / h, in the regional market it was on sale for $218.
In March Costa Rica increased its energy imports, since the price in the regional electricity market was almost half that of the cost incurred by the Instituto Costarricense de Electricidad to generate power using thermal power plants.
Using standardized issuances, the Costa Rican entity intends to raise funds in the financial markets of Nicaragua, El Salvador and Mexico.
The idea "... is to raise funds by issuing securities on the stock exchanges of these countries with the aim being that investors can obtain the funds and channel them into placing loans here," noted an article in Prensalibrecr.com.
There are too many entities in the field of integration and they do not seem to be working with the speed they should.
The President of FECAMCO (Federation of Chambers of Commerce of Central America), Mario Gonzalez, believes that together with the customs union, key to boosting development in the region, there are other factors to consider, such as legal certainty, investment in technical education and physical security of persons and property.
In light of an outbreak of the H7N3 virus in the Mexican state of Jalisco, poultry authorities in the region have standardized criteria for actions to address this threat.
Avian influenza is an infectious viral disease that affects birds, but has enough potential to infect different species of mammals.
"Humberto Maldonado, director of Animal Health, at the Ministry of Agriculture, Livestock and Food (MAGA), explained that 'the first thing to do in these circumstances is to strengthen epidemiological surveillance in the border area and solicit the support of the Ministry of the Interior and the Guatemala Army and to control smuggling of chicken meat and eggs ', because this is what poses the greatest risk to Central America", noted an article in Siglo21.com.gt
Central America and the Dominican Republic have agreed together to ensure financial liquidity, create mechanisms for monitoring risk management and financial systems, as well as taking measures against the effects of the euro zone crisis and the weakness of U.S.
Carlos Acevedo, president of the Central Reserve Bank of El Salvador, told Prensalibre.com that "we are preparing a regional financial system and shielding mechanisms."
The system provides useful tariff information for importing goods and services in Central America.
The system provides useful tariff information for importing goods and services in Central America.
Dubbed AIC (“Arancel Informatizado Centroamericano”), this tool lets users find out which tariffs must be paid and what other requisites are required to import goods in Costa Rica, El Salvador, Guatemala, Honduras and Nicaragua.