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. "
The government of Guatemala is inviting companies to take part in an international tender for the construction of 604 kilometers of the electrical transmission network.
As previously announced on July 15, the Ministry of Energy and Mines in Guatemala has convened a formal tender to expand electricity coverage of the country through ".... the installation of 29 new substations, expansion of 22 existing ones and the adaptation of 51 kilometers of line."
A total of 32 new hydroelectric projects are being developed in different stages in the country with a capacity to generate 1,128 MW.
Although Guatemala has hydro potential for generating 5000 MW, so far only 18% is being utlised, through the 20 hydroelectric stations currently operating which have the capacity to generate 937.50 MW.
Delays in the construction of 45 power plants which have already been awarded are mainly due to social issues and permits.
According to Edwin Rodas, Deputy Minister of Energy, 40% of these projects have been delayed because of financial issues, social problems and lack of permits for easements. Starting May 2015 these plants will have to supply power to Energuate and Empresa Electrica de Guatemala SA (EEGSA).
The transport of electricity between El Salvador and Guatemala through the Electrical Interconnection System for the Countries of Central America is limited to 170 MW.
This is despite the fact that the Electric Interconnection System for Central American Countries (Siepac) has capacity to transmit 300 MW, said Luis Herrera, manager of the Wholesale Market Administrator (AMM) in Guatemala.
The Ministry of Energy and Mines has given approval for the hydroelectric station Raaxhá in Alta Verapaz, with capacity to generate 10 MW for a period of 50 years.
"The awardee the contract, Hidroeléctrica Raaxhá, will install the plant in the municipalities of Chisec and Coban, Alta Verapaz, and will have a capacity to generate 10MW," reported Elperiodico.com.gt.
More than 45 power plants which are being built with an investment of more than $1.1 million face social, technical and financing problems.
Prensalibre.com reports: "The works are part of the tenders in the Generation Expansion Plan made in 2010 and 2012 for long-term contracts, which seek to ensure the supply of energy for Empresa Eléctrica de Guatemala (EEGSA) and Energuate ... ".
The MEM will put out to tender geothermal energy supply, with an investment of around $500 million per 100 MW.
"It will be the first time that an invitation has been made for this kind of technology," said the chief of the Ministry of Energy and Mines (MEM), Erick Archila. He said the country has the capacity to generate 850 MW but "has not exploited it properly, only 2% is being used."
Guatemala's government is planning to create a fund from the fees paid by hydropower stations.
According to an article in Prensalibre.com "the creation of an energy fund could be, according to the Ministry of Energy and Mines (MEM), a solution to the social conflict caused by hydroelectric energy, although the proposal already has opponents. "
This year, the country went from exporting 14GW per hour between January and May to 35GW per hour in June and July, with the entry into force of the regulation on regional integration.
According to Jorge Alvarez, market manager of the Wholesale Market Administration (AMM by its initials in Spanish), in July 50 GWh were sold, and in the first 20 days of August 22 GWh have been exported.
With a generating capacity of 75 MW, the Xacbal Delta hydro station will be built upstream of the existing Hydro station Xacbal.
By Ministerial Agreement 321-2012, the Ministry of Energy and Mines has authorized the company Energía Limpia de Guatemala, the use for 50 years of Xacbal River water for the construction of a hydroelectric power plant with a capacity of 75 megawatts.
A tender is being prepared for the installation of a 200 MW power plant to generate electricity from natural gas, with an anticipated investment of $380 million.
The tender is scheduled to be released in October. The start of operations could be in 2015.
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