Price bands prevent ICE buy cheaper energy

Regulatory Authority aims to relax rates to these entrepreneurs

The Institute charges its subscribers three times what it pay per kilowatt

August 11th,2014.

The private power generators vendel ICE might have even lower than current prices, however, prevents methodology.

Therefore, the Regulatory Authority for Public Services (Aresep) aims to relax the price band, above all, on the floor or lower limit.

Making the modification, private could charge less per kilowatt (kWh) that trade with the Instituto Costarricense de Electricidad (ICE). In turn, the Institute should reduce electric rates to subscribers.

According to Aresep intend to seek a new mechanism came after the two contests held on the ICE for power purchase, as all producers offered glued to the floor price established band.

This happened in the call 2012, when ICE issued a tender for 100 megawatts (MWh) of 40 MWh of wind and water. It also became clear on February 4 this year, when he required 40 MWh and 30 MWh of wind hydro.

"Lower the floor is an incentive to lower prices: promoting competition, efficiency and facilitates the entry of more operators," reported ARESEP advisors.

The price band for private power generators are created by a decision of the regulator, May 2011. This order was in force for only plants that were built from that time, not for existing.

To fix the ceiling and the floor took into account factors of profitability, operating costs and investments.

The first band designed, in March 2013, was for water plants. According to this, the value of each kilowatt range between 49 ¢ and 82 ¢.

In September of the same year it was established that the new wind projects (wind) must sell each kWh between 44 ¢ and 65 ¢.

A lack of own band, this year it was defined that the producers of solar energy and biomass should be adapted to the same rules for hydropower. That is, until ARESEP an exclusive design.

Today, ICE generates 74% of the country's electricity; the other 26% comes from non-state generators and cooperatives. The 7200 Act sets a ceiling of 15% for the purchase of private power.

Last year, ICE spent ¢ 59. 417 million in private power, at an average price of 37 ¢ per kWh. With this pocket 1.595 million kWh were generated.

Old plants. Besides opening band for those power projects to be included in the National Electric System (SEN), ARESEP aims to create a band for 28 plants already in operation ..

Last December it was established that the existing private no matter what energy source, with intent are only allowed to sell 37 ¢ per kilowatt.

"A no longer the old plants are recognized operating costs to be depreciated. The band also create for them giving them the opportunity to offer even lower prices and compete with new plants, "the Regulatory Authority.

That ICE retail price (37 ¢ per kWh) is not received by the final consumer.

The fee is charged to the subscriber includes operating costs, transmission and distribution.

Thus, the Institute ends up selling to their customers every kilowatt to nearly triple in 91 ¢.

Read more: 'La Nación'




Biomass electric generation lacks impulse for sale

Although there is interest and capacity, business is not profitable

March 28th,2015

The generators of electricity with biomass such as agribusiness and farming-producers have no incentive to sell their renewable ICE kilowatt hours (kWh).

Before placing their production to unattractive prices of $ 0.08 or less, these generators prefer to take advantage of in their own plants, as a form of consumption.

This biomass is the result of the use of organic waste to produce energy. In Costa Rica is allowed since 1990 by Act No. 7200, and is mainly derived from agricultural waste such as sugar cane, palm, rice, coffee and pineapple.

However, the Regulatory Authority for Public Services (Aresep) has just set the price per kWh generated with cane bagasse ($ 0.08), in force since 2010.

At present, the Instituto Costarricense de Electricidad (ICE) buys two mills energy produced from bagasse during the harvest season.

The installed capacity between generators is 37.8 megawatts and last year won 83.6 gigawatt hours. This contribution represented 1% of total energy production of Costa Rica.

The energy sources other than bagasse biomásicas not own fee, so it should fit the price range of new hydroelectric plants: between $ 0.09 and $ 0.12 kWh.

Why not attract? According to Irene Cañas, Deputy Minister of Energy, Ministry of Environment and Energy (Minae) that governs a single, inflexible price (for bagasse) makes it an unattractive business.

He also indicated that the price is not competitive.

"In most projects biomass (bagasse), agribusiness prefer to use it for consumption. It is more profitable use, not that the pay (...) should seek a competitive price "said Cañas.

To promote this production, Cañas ask the Regulatory Authority for Public Services (Aresep) establish a price band.

On this, the spokeswoman for the company, Carolina Mora, considered it possible to modify the methodology and update it regularly is also positive.

Meanwhile, the ICE would be willing to buy the entire generation that the mills are interested in offering; at least so said the manager of Electricity, Luis Pacheco.

"ICE can receive requests from biomass-eligibility of any source at any time, it has procedures and there is room for it (...) The ICE has always been interested in acquiring this power; in particular generated in the dry season, "said the manager Pacheco.

Promoting biomass-generation during the summer and at better prices than at present, is seeking to boost the libertarian congressman Otto Guevara, a bill introduced this month.

"We want to encourage the purchase of biomass during the summer months, but improving the current selling price and recognizing more costs. This will serve to reduce pollution, lower oil bill and electricity tariffs, "said Guevara.

Option. The biomass not only can be used in power generation to commercialization or own use, can also be used as a form of energy.

Ie generators can use it to replace in their industrial processes, fossil fuels (diesel and others) that require boilers.

This, Cañas, is more efficient than electricity production, so the Minae encourages industries to assess their needs and define which alternative is most useful to them.

The biomásicas sources, unlike the hydro, wind and solar have an owner who is normally the agroindustrial, so the generation and sales business depend merely their will.

Source: "La Nación"


ICE: 'There will not be electricity increases in 18 months'

August 1st,2014

Following the controversy generated by his latest rate proposal, ICE said that during the next 18 months, do not ask a single increase more expensive electricity bills of their subscribers.

The Instituto Costarricense de Electricidad (ICE) had already made public that promise at the end of June, when he pledged to cut spending and stabilize its finances to lower the cost of light.

That's when the entity itself proposed that the increase of almost 16%, supported by prior ARESEP, were applied in three tracts of 5.32% each, over 18 months.

The ICE and the government joined in the public commitment to maintain stable electricity rates over the next year and a half.

Conflict. Two days ago, the Regulatory Authority for Public Services (Aresep) announced a new application "of rate hike" by ICE. A ARESEP found it "troubling" that ICE broke its commitment to ask for a 3.3% increase in receipts.

In your written request, on July 21, ICE explained that it requires an adjustment must cover (concrete and projected) by increasing energy imports, to which he turned down as long as the burning of fossil fuels.

That explained that this year is expected to import 240 gigawatts, which would imply the disbursement of ¢ 36,212,000. To do this, asked ARESEP recognition of additional income for ¢ 31,524,000.

But Elbert Duran, spokesman for the institute, said yesterday that there was a misunderstanding by ARESEP. He explained that the request was to amend the tariff composition, instead of devoting 3.3% to the purchase of fossil fuels, that percentage is intended for energy imports Regional Electricity Market (MER).

"The price will stay the same from now until December 31, 2015; what changes is the percentage of the items. The stability was a policy set forth by the Government to respect and implement the ICE. No contradiction, "he said.

Carolina Mora, spokesperson ARESEP, no more refer to the ICE proposal because "already entered public hearing process."

Source:'La Nación'



Costa Rica wasted solar energy for electricity generation

Absence of clear regulation slows growth of generation with solar panels

March 22nd,2015

With a privileged climate and sunlight, Costa Rica possesses the means to generate more electricity from that source that develops rapidly in the world conditions.

The country has modern hydroelectric plants that are, according to researchers, the ideal complement of solar energy.

The Costa Rican Association of Solar Energy (Acesolar) even consider that hydroelectric plants can store solar energy powered generators and motors to produce pumping water return.

Today, solar generation base, despite being still in its infancy, generating more than 1,000 jobs in 30 companies associated with the sector.

Privilege wasted

Data provided by Dr. Monica Morales Masis, Costa Rican who works at the École Polytechnique Fédérale de Lausanne (EPFL), Switzerland, indicate that if solar panels were installed on the roof of one in ten households in Costa Rica (1.2 million houses), could be covered with clean energy that 10% of the demand for electricity currently produced fuels.

The savings would be significant in that scenario.

According to the Public Services Regulatory Authority (ARESEP), in 2015 the Instituto Costarricense de Electricidad (ICE) ¢ 56,152,000 spent on purchase of fuel for the operation of its thermal plants.

These facilities generate 5.73% of the estimated electricity demand this year. During the dry season, that kind of generation would reach 8.95%.

More capacity on hold

Weather and national infrastructure conditions suggest Dr.. Morales still have more opportunity for improvement which would meet the growing demand for electricity with solar power.

Acesolar goes further. Based on the calculations of the organization, distributed generation with solar power injected into the national grid would, in a few years, able to cover almost the entire energy demand of the country. This when the price of storage systems that allow mitigating the variability of solar power and growth of small projects of this generation incentive is reduced because large have higher performance per watt installed.

However, the country does not fail more than a small part of the solar irradiation and generates only 10 megawatts maximum amount set by the ICE a pilot plan. The same that closed in February.

Read more: "El Financiero"



ICE requests increase in electricity

July 30th,2014

The Instituto Costarricense de Electricidad (ICE) filed a request for an increase of 3.3% in electricity tariff, which remains concerned about the ARESEP, it is not consistent with the policy outlined by the government, in terms of maintaining stability in electricity rates over the next 18 months.

However, the ICE justifies its request on the need to cover the costs of electricity imports, which was necessary due to weather conditions that caused a longer summer and less amount of rainfall recorded historically.

This option, import the regional energy market is preferable to produce thermal energy plants in the country. Only for the month of May, the country avoided about $ 7 million in additional use of fossil fuels.

Under the law, the Regulatory Authority shall submit to the public discussion of the proposal at a public hearing ICE.

The last time I went to the ICE ARESEP for a rate increase, it was rejected after failing with technical information required for the study.

Source: ARESEP Web Site

<< Start < Prev 1 2 3 4 5 6 7 8 9 10 Next > End >>

Page 9 of 44
  • 2011 © ASI Power & Telemetry, S.A. All rights reserved.
  • |
  • |
  • Toll-free +(866) 402-2482

ASI Power − we make renewable electricity easy

Designed by AVOTZ WEBWORKS and Kate