Negotiation with generators will save the country US$ 738 MM

posted on: Dec 9 2011 7:59 by RDugey. Viewed 18 times.

Dominican Republic save in the next six years $738 million, an annual average of $123 million, per renegotiation of purchase prices of energy with the companies generating electricity.

So yesterday informed the Executive Vice President of the Dominican Corporation of State electric companies (CDEEE), Celso Marranzini, during his dissertation as a speaker invited in lunch monthly of the House American of trade.

According to the official, this achievement occurs at a time when the structure of the electric subsidy granted by the Government registers, for first time in its history, a shift to focus less on transfers to business distributors of electricity, and more on keeping relatively stable rate paid by consumers. Marranzini takes almost 28 months at the head of the CDEEE.

The CDEEE signed new contracts for short-term and renegotiated the existing AES Andrés and Dominican u000aPower Partners (WMD), both of the Dominican AES group; EGE Haina, San Felipe generator and the company's hydroelectric generation plant (Egehid), which benefit Edenorte, Edesur and Edeeste.

Marranzini explained that the new agreements between AES Andrés, Edenorte and Edesur savings of $52.6 million; at the end of this year while the renegotiation between the generator and Edeeste saved to the same date $424 million, as well as $8 million by reducing between Dominican Power Partners and Edeeste.

In the case of EGE Haina, the institution re-established the contract with Edeeste, which had been suspended for failure to pay in 2009, thus obtaining a 50% discount for purchase of energy, and representing US$ 34 million to December 2011. Also, a decrease of $26.6 million in the San Felipe generator for sale of energy to the CDEEE, and other $44.8 billion in agreements between CDEEE-Egehid and distributors.

Transparency
the u000aprogress in the electricity sector are also reflected in the efficiency and transparency of the companies of the holding of the CDEEE, one of the outstanding achievements by Marranzini in his speech.

"The effective implementation of the actions of not only corporate governance implies a transparent allocation of resources, but that also promotes economic growth, performance, productivity and competition from companies that provide energy to consumers," said.

Grant officer
The Vice-President of the CDEEE also assured that the electricity companies ceased to be a bottomless barrel, since most of the subsido that receives the sector was allocated this year to the Fund's stabilization of the rate electrical (FETE), for the benefit of consumers.

The official reported that resources for the FETE at the end of 2011, will reach US$ 483 million, representing 70% of total transfers of this year, that u000aIt amounts to some US$ 700 million.

In addition, he indicated that the amount is higher in 2012, from the estimates of the distributors that force, prices should transfer more than $600 million to this Fund.

"More than half of the resources received by the sector in 2011 was transferred to subsidize fees, but not the inefficiency of the distributors and the industry in general, as it used to happen in the past", accentuated Marranzini.