The increase is due to low rainfall and higher oil prices.
The new rates will take effect on April 12 and continue to be in force until July 12.
Abraham Bichara, president of AES El Salvador, said dry season forces hydroelectric plants to operate at minimum levels, increasing thermal generation, which is affected by higher oil prices.
Starting Jan. 12 the electricity bill will increase between 8% and 8.4%.
The increase will not affect households with consumption lower than 99 kilowatt hours a month, according to Abraham Bichara, President of AES El Salvador.
AES will develop the country’s first methane gas power plant.
Works are scheduled to begin on July 7, starting operations on early 2011.
Luis Pérez, manager of the project AES Nejapa, told Elsalvador.com that “this is a modest plant, which will initially generate 6MW, but has enough technical capacity to eventually output 24MW”.
The company, who distributes 80% of the country’s energy, purchased supply for the next two years.
After a public bidding process, the winning companies were Nejapa Power, Duke Energy and Cutuco Energy.
Abraham Bichara, President of AES El Salvador, told newspaper La Prensa Gráfica that “signing these contracts is strategic, as there will be changes in the energy market … we want to reduce costs for consumers and attract more investment to the country”.
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