Small and medium-sized power generation as solution for Chile
Cerro Colorado, Chile (source: flickr/ travfotos, creative commons)
Francisco Rojas
6 Oct 2014
The Trade Association of Small and Medium Power Generators in Chile has submitted to the local government a list of suggestions to foster energy development in the sector.
As part of a meeting with the Committee on Mines and Energy of the Chamber of Deputies in Chile, the Trade Association of Small and Medium Power Generators (GPM AG in Spanish), that has around 80 companies representing 20% of capacity have submitted a proposal aiming to enhance the development of the sector.
Sebastian Pizarro, president of the union, who was accompanied by his vice president, José Manuel Contardo and associate Juan José Chávez, explained that the proposal submitted to the Ministry of Energy and to the Committee on Mines and Energy of the House Deputies suggests strengthening state institutions. “For GPM AG is essential that there is a need for clear and stable rules that allow for investments, which are always long term based to flourish, and the the concerns that new entrants have to face to be understood” he said.
Among other things, the proposal aims to:
Achieve price stability of contracts and review of tenders.
Remove ceiling price bids.
Define the exceptional condition of forced price to a maximum period of one year, consistent with the period of supply tenders for short term.
Let the bidding contemplate that the generator can bid at any time, day and month according to their production curve.
Reduce Risk and try to attain lower bid prices.
Source: Revista Electricidad via Piensa Geotermia
