Ecuador dusts off early-stage solar projects totaling 300MW

Work is scheduled to begin in the coming weeks to advance early-stage solar projects as part of Ecuador’s stepped-up efforts to diversify the power generation park.

Amid the country’s energy crisis, authorities look to add new impetus to the La Ceiba (200MW) and Matala (100MW) photovoltaic parks.

To this end, state power corporation Celec’s Gensur unit invited Setiagroup in a direct hiring process to submit a bid for a 90-day contract to update planimetric surveys and boundary information, as well as the socialization sheets, of properties within the projects’ areas.

La Ceiba is planned for Zapotillo and Matala in Gonzanamá, both in Loja province.

Solar power currently represents less than 1% of Ecuador’s installed capacity of 8,963MW, 58% of which is hydro, 39% thermal, 1.61% biomass, 0.79% wind, and 0.09% biogas.

There has been a push for private sector involvement to increase the share of renewables, and recently, stemming from the dispatch shortfall on account of drought conditions, a bill was approved to further promote private participation.

Although concession contracts have been signed for solar projects Ambi (60MW), El Aromo (200MW), Conolophus (40.9MW), Imbabura (60MW), Intiyana (60MW) and Imbabura (60MW), construction of these has yet to begin.

Issues related to state guarantees and payment for electricity would be holding up the solar parks’ advancement.

To help address this hurdle, IDB approved a US$500mn sector loan in July, along with US$100mn from the Korea Infrastructure Development Co-Financing Facility for Latin America and the Caribbean.

Early this year, Celec released a study on Ecuador’s solar photovoltaic potential, available here.