Nicaragua utility Empresa Nicaraguense de Electricidad (ENEL) plans to seek international bids to build the 17-MW Larreynaga hydroelectric project on the Cacao River in Jinotega Department.
The Central American Bank for Economic Integration (CABEI) signed an agreement November 20 with Nicaragua’s Property Minister Mario Flores, providing Nicaragua with US$37 million to fund design, construction, and commissioning of Larreynaga.
The project, to be built 161 kilometers from Managua, is to increase the nation’s power supply by 3 percent. The manager of CABEI’s regional office, Leonidas Solorzano, said the bank supports the Central American power sector as a driver of the regional economy and improved quality of life.
�In the case of Nicaragua, we felt very pleased for the first time to finance a project of generation of hydroelectric energy, which we know will support currency saving, reduce the oil bill of US$5 million annually, and will impel the competitiveness of the country,� Solorzano said.
In 2005, ENEL awarded a contract to German-Nicaraguan consortium Fitchner-Idisa to conduct feasibility studies for Larreynaga. The government said those studies will be used to carry out international bidding within about six months.
For information, contact Empresa Nicaraguense de Electricidad, Interseccion pista Juan Pablo II y Avda. Bolivar, Managua, Nicaragua; (505) 2672688; Fax: (505) 2674379; E-mail: email@example.com.