Ecuador: 10 companies presented their economic offers for the development of the 500 Megawatt Non-Conventional Renewable Energy Block

Statement Ministry of Energy and Mines

This is an automated translation of the press release issued in Spanish

Through a public act, on January 11, 2023, the opening of the economic offers was carried out, corresponding to the Public Selection Process (PPS) of the Non-Conventional Renewable Energy Block (ERNC I) of 500 megawatts (MW). The act was attended by the Vice Minister of Electricity and Renewable Energy, Enith Carrión and the representatives of the interested companies.

Complying with the schedule established for the PPS, the Technical Commission appointed by the Minister of Energy and Mines, opened envelope number two corresponding to the economic offers presented by 10 companies from different countries, whose proposals add up to a total of 511 MW.

The Companies offered securities below the reserve price, which were detailed according to their technology:

– Hydroelectric: US$ 52.44 MWh
– Wind: 61.12 MWh
– Solar: US$ 67.79 MWh
– Biomass US$ 45.59 MWh

It should be noted that on November 11, 2022, 10 participating companies submitted their offers for the development of 14 projects focused on power generation, through wind, photovoltaic and hydroelectric technology.

The Non-Conventional Renewable Energies Block contemplates projects of four technologies: Photovoltaic, Wind, Hydroelectric and Biomass, which can be located in different provinces of the country depending on the primary resource available, the environmental and logistical conditions of the site; in order to cover the growth in electricity demand. With its implementation and based on the estimates of each offer, an annual average energy of 1,886 Gigawatt hours (GWh) could be achieved.

The Vice Minister of Electricity, Enith Carrión, emphasized: "The National Government through this State Portfolio has developed a portfolio of projects focused on the development of non-conventional renewable energies, in which the attraction of investment and active participation is promoted. of the private company, under parameters of transparency and legal certainty”.

The structuring of the PPS had the support of the international consultant Deloitte in the technical, legal and financial field, as part of a cooperation granted by the Department of State of the United States of America.

It should be noted that this process, which began on December 10, 2021, included the participation of 37 companies that acquired the participation rights and accessed the virtual data room created for this purpose.

On February 1, 2023, the Technical Commission will proceed with the socialization of the act of results of the process and the award recommendation, in accordance with the established schedule.

The National Government through the Ministry of Energy and Mines, which is the governing body of the Ecuadorian energy and mining sector, promotes the development of transparent processes and with legal certainty, aimed at attracting private investment for the execution of generation, distribution and transmission of electrical energy, to guarantee a continuous, safe and reliable supply for all Ecuadorians.