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View Full Version : High operating costs take many off line



NewsWhore
11-29-2006, 06:50 PM
At least 31% of the Dominican Republic's total power generating capacity is currently out of action due to high operating costs. This is a total of 837 megawatts of power. Much of the problem lies in the fact that these plants operate on diesel fuel, which is the most expensive fuel for large-scale energy production. As such, it costs generating stations as much as US$0.20 per kilowatt/hour, and this does not include any profit or transmission costs. The only facility that is currently producing electricity with this fuel is the COGENTRIX station in San Pedro de Macoris, which provides 100MW as an independent power provider (IPP), and has a constant deficit with the CDEEE. Haina is also in service because the CDEEE is providing it with an additional US$10 million in subsidies. According to Listin Diario, the situation developed during the first Fernandez administration when the government invested US$120 million in power generation. Six units were purchased from Siemens without public bidding. Only the unit at Haina, which can produce 100MW, is currently in operation.

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