Colombia’s Comision de Regulacion de Energia y Gas (CREG) has agreed to buy power from the 78-MW Amoya hydroelectric project and two thermal plants as the result of a May 6 power auction.
CREG said eight companies offered ten projects totaling 1,208 MW to begin selling power for 20 years beginning in 2012. The reverse auction began with a price cap of US$26.09 per MWh that declined to US$13.998/MWh, ending with three successful bids at that price totaling 438 MW.
CREG said the three projects to be built include 78-MW Amoya being built by government utility Isagen, Gecelca’s 150-MW coal-fired plant, and Poliobras’ 210-MW petroleum-fired plant.
CREG plans a second auction June 25 for projects that would go on line between 2014 and 2018.
In 2005, the U.S. Overseas Private Investment Group approved political risk insurance to cover US$212 million in financing for Isagen that included beginning of construction of Amoya.