Less rain and ICE debts threaten to expensive electricity

IMN provides low in rainfalls; ICE expected startup of new plants

Rates for 2014 do not cover expenditure made in bunker at the end of the year by Institute

January 22nd, 2014.

The risk of less rainfall, coupled with millionaires expenses even without recognizing the Costa Rican Electricity Institute (ICE) thermal generation (diesel and bunker), threaten to raise electricity rates more than expected this year.

For the first and second quarters of 2014, the Regulatory Authority for Public Services (Aresep) approved two hikes (one already in force) which will then be followed by two cuts: one in July and another in October.

However, manufacturers fear that if they fail hydropower forecasts for this season, the shortfall will be covered by burning more oil and bring that inevitably rate hikes.

Last November, the National (IMN) Meteorological Institute made an estimate for the first quarter of 2014, according to which the lack of rainfall recorded during the previous three years in the Caribbean slope is maintained.

Industrial Fear. Carlos Montenegro, deputy executive director of the Chamber of Industries of Costa Rica, warns that if the hydroelectric generation is in deficit, the shortfall will be covered by burning fuels. That, according to his calculations, the annual bill rise about ¢ 55,698,000.

Thus, the Chamber considers that the 2014 could be closed with a payment of ¢ 160,242,000 associated with thermal generation, which sooner or later will move to consumer energy bills.

In 2013, the expenditure amounted to ¢ 120.419 million, according to ICE report, and in 2012 was ¢ 75.099 million (60% less), as ARESEP data.

Montenegro said the model Variable Fuel Cost ICE recognizes any spending without forcing thermal generation to meet criteria for operational efficiency.

In this regard, Duran Elberth ICE spokesman, said yesterday that any prognosis associated with the results of the climate in the country is uncertain. "The same can have an extremely dry summer as the wettest in recent years," he said.

Duran added that this year, the Institute provides for entry into operation of the wind plant Chiripa (Tilarán) with a contribution of 50 megawatts (MW) and hydro Balsa.

Meanwhile, ARESEP confident that any eventuality would also be covered with Tacares plant and increased production of geothermal energy.

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ICE expects to consume less fuel, in the next three years

For the Institution , the 2013 was a 'fatal' year due to the amount of rain

January 21st, 2014.

For the Costa Rican Electricity Institute (ICE) 2013 was a terrible year for the amount of rainfall that would allow it to generate electricity. The significant reduction in the last three years was a remarkable increase in the consumption of diesel, to generate thermal energy that will supply the country's demand.

Despite facing a dry period and expense, the institution expects a recovery in the next three years, which will lower the impact of thermal production has on the rate paid by Costa Ricans. But this comes after a year, "Gaston" in diesel fuel and type "bunker", used to generate thermal energy.

The director of the National Energy Control Center ICE Salvador Lopez said that despite this situation, Costa Rica continues to differentiate itself from the rest of the area. In other Central American nations are large installations of thermal plants account for more than half of electricity generation, such as 70% in Honduras.

The main source of power generation in our country is water (hydropower) with 76%, followed by 13% geothermal, thermal which means 7% on average and wind (wind) to 4%. That if the thermal energy up to 11%.

But Lopez says the process is cyclical and will decrease in the coming years, thanks to the entry of certain hydroelectric projects as the expansion of Cachi Reventazón this year and in 2016.

From January to October 2013, the volume of fuel used for electricity generation was 72 million liters of diesel and 178 million liters of bunker. This expenditure is transferred to the electricity tariff approved by the Regulatory Authority of Public Services (Aresep).

It is made by Variable Fuel Cost Methodology (CVC), which performs quarterly adjustments, positive or negative variations, depending on usage and heat recovery mechanism. Salvador Lopez explained that ICE conducts annual consumption estimates and ARESEP defined as distributed each quarter.

The point is that you know how ICE ARESEP calculated thermal spending per quarter. If you exceed or rather spend less than estimated, the Institute should move this adjustment period to the next. For example, for the months of October, November and December was defined zero consumption, but if you spent, so the ICE must "compensate" in the first months of this year.

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Hydroelectric project construction begins at 'Isla del Coco'

Central will use modern surveillance technology

January 20th, 2014

This Monday at 1 pm They will set sail to Isla del Coco 35 partners Compañía Nacional de Fuerza y ​​Luz (CNFL), who will work on the second phase of the project to improve infrastructure in Bay Chatam on Isla del Coco.

This stage includes the construction of a micro hydro Olivier river, which will last 30 days.

"The CNFL has highly trained staff that will make this work possible despite the high degree of difficulty of surveying and other technical and logistical aspects of a construction in Cocos Island, in the environmental respect to this World Heritage Site" said Juanito Ovares, technical project manager Olivier.

The project to build a hydroelectric plant in Chatham Bay is a government initiative that has been declared of public interest. It also has contributions from companies such as Mabe and Tips to equip the base.

Also the Foundation Friends of Cocos Island (Faico) managed, in coordination with Amic, funds donated by the Embassy of Japan and the SC Johnson already turbine to be installed in the central micro hydro was purchased.

The construction of micro hydropower plant will strengthen efforts to protect and conserve the Cocos Island National Park developed by the Marine Conservation Area Cocos (ACMIC) against illegal fishing.

Also, will replace the current system of electricity generation based on hydrocarbons, which exists in Chatham Bay, a system of clean energy generation from renewable sources.

Braulio Navarro, manager of projects ACMIC cooperation and said that this project will provide the opportunity to improve the quality of life of employees, while allowing the use of technological tools and devices of modern surveillance.

Source: 'La Nación'

Gamesa spanish company will build a 50-megawatt wind farm in Guanacaste

Company expects to complete construction in late 2014 and early 2015

January 3, 2014.

The Spanish company Gamesa constructed and installed in Costa Rica a wind farm of 50 megawatts (MW) to Globeleq Mesoamerica Energy (GME), the company said Friday.

Specifically, Gamesa will install 25 wind turbines two megawatts of power in the Orosi park, which is in the region of Guanacaste, west of Costa Rica, and expected to be completed by the end of 2014 or early 2015.

Under the agreement, Gamesa also responsible for the construction of the necessary infrastructure for the park, including an electrical substation, the power line and the interconnection network.

It also performs the tasks of operating and maintaining the park for five years.

This new contract marks the third collaboration with GME, following the wind farm in Honduras Cerro de Hula (126 MW) and the Eolo Nicaragua park (44 MW).

In Costa Rica, Gamesa installed so far 12.75 MW wind farm in Los Santos.

Source: 'La Nación'