Coal-fired plants
Keith,
Do you have an idea which Virginia coal fired plants the government could be considering buying? Could you follow up and if you hear anything, let us know.
Am referring to the brief of 17 February in dr1 daily news:
Future power supply will be cheaper
Secretary of the Presidency Danilo Medina said that the government is negotiating the installation of two power plants that are in operation in the state of Virginia, in the US, as reported in the Listin Diario. He said the power plants would produce 1.2 megawatts that would be sold at RD$0.04 the kWh down from US$0.19 at present. He explained the government would nevertheless not be able to disregard the present contracts, but as the demand increases, the additional supply would be available at a lower cost. He was also optimistic the more competitively priced power would oblige other companies to renegotiate the terms of their contracts.
He criticized contracts that have been signed in the past that oblige the country to pay for installed capacity of power plants, regardless or not these be actually generating the power. He said the negotiations are proceeding with the participation of the World Bank and in coordination with the IMF. Two notable cases of contracts based on installed capacity are the Smith Enron power plant (under a Balaguer administration) and the Cogentrix plant (under the previous Fernandez administration).
He said the first Virginia plant could be ready to go into operation in 14 months after the signing of the contract, and the second in 21 months time. Each would produce 600 megawatts. Medina said that the demand now is at 1.8 megawatts. One of the plants would be installed in Manzanillo and would supply power to the Cibao region. Another would be installed in Puerto Viejo, Azua to supply the south and Santo Domingo.
The power plants would use coal as fuel. The coal would be imported from Colombia.
Last edited by Dolores; 02-21-2005 at 05:23 PM.
|
(31)
