Cenérgica is planning to build in El Salvador a coal power generation plant, which would produce about 150 megawatts.
However, according to Ricardo Hernandez, CEO of Cenérgica, execution of the project planned by the company IC Power, part of Israel Corporation Limited (IC) will depend on the suitability of the tender conditions for the contract for the long-term supply of 350 MW .
For the tender of 310 MW, awards were granted to six generators in El Salvador, for a term of four years.
All of the proposals submitted were below the $186.39, price ceiling set by the Superintendency of Electricity and Telecommunications (Siget). According to the chief of the Siget, Luis Mendez, the total amount transacted is approximately $1 billion.
The security provided to generators in signing long-term contracts means lower electricity rates to end users.
An article in Elmundo.com.sv states that "The entry into force in January, of two new long-term contracts to provide power for two years to distributors, will prevent a further increase in the new energy prices which will be valid from April 15, according to the company DELSUR. "