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View Full Version : Electricity needs US$3.4 billion



NewsWhore
08-20-2009, 06:20 PM
Within a few years demand will exceed installed electricity generation capacity in the DR. That is known, but the fact today is that the many contradictions within the system are what produce the long blackouts.
At the Corripio Group's monthly luncheon, executives from the Dominican Association of the Electricity Industry (ADIE) identified as a crucial problem in the sector the 40% loss suffered in transmission alone.
Marco De la Rosa, the president of ADIE, said that US$300 million needs to be invested in transmission lines and US$600 million in distribution lines of medium and low tension as a way to broaden the coverage and reduce losses. He pointed out that currently demand is between 1900 and 2000 megawatts during the peak hours.
Marco de la Rosa, the president of ADIE, said that an injection of US$3.4 billion in the sector is needed in the areas of generation, transmission and distribution over the next 5 years.
He outlined how US$2.5 billion of these funds should be used to diversify how electricity is generated and to improve the existing generators.
De la Rosa heads the AES Dominicana power generation group. He said that the rescue of the electricity sector in the Dominican Republic needed the application of a plan that focuses on infrastructure, subsidies, governance, and the response to the consumers. Infrastructure needs, he said, include the expansion and improvement of the distribution networks, the integration of the transmission systems and the diversification of the generation systems.
Regarding the subsidies, De la Rosa said that the Program to Reduce Blackouts (PRA) should be eliminated and subsidies applied to those who consume less than 200 kilowatts. He explained that the ADIE proposals also include incentives for private investment, penalizing those who steal electricity, fulfillment of payments down the supply line and a strengthening of institutions.

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