LAWEA to push for a Regional Integration Policy

Guadalajara, 15.09.2011. LAWEA and its board members are working with international financial institutions to develop a policy that benefits the renewable energy projects that integrate
a higher percentage of participation of Latin American suppliers in order to improve the industrial development in our region. It is intended that the rates, terms and general financing conditions to be more favorable when projects include the development of local suppliers through technology transfer, capacity building and direct investment in production facilities that would help improve social and economic conditions in Latin American countries.

MEXICO

Transmission line awarded

Alstom Grid, the global expert in electrical grid performance, has been awarded a contract by Mexico's state-owned power utility, Comisión Federal de Electricidad (CFE), to deliver seven new substations and 11 overhead transmission lines in the neighbouring states of Puebla, Veracruz and Oaxaca, in partnership with Sademex, Ingeniería y Construcción.

This is the largest contract awarded by CFE this year, which will be shared between Alstom Grid and Sademex, with Alstom Grid's share being worth US$42.3 million. Once completed, the length of the 11 transmission lines will total 183 km and the energy capacity of the three states will increase by 1000 MVA.

Alstom Grid's scope includes the design, manufacture and installation of the seven 4oo kV/115 kV substations, along with circuit breakers, disconnectors, current transformers and power. The turnkey project will be led and executed by Alstom Grid in Mexico.

This project is due to be commissioned in January 2013.

BRAZIL

Getting ready to 5 fold increase

Wind turbines deployment in Brazil is set to exceed 5,000 MW by 2013, a five-fold increase from the current installed wind farm capacity, according to the Summary Report 'Analysis of the regulatory framework for wind power generation in Brazil', it shows that current efforts of the Brazilian government to tap into the country's vast wind power potential are bearing fruit, but that a long-term specific policy framework for wind power is required to sustain investment in the sector.

Brazil currently has 1,120 MW of installed wind farm capacity in 55 wind farms, mostly located in the eastern coastal states of the country. In addition, several energy auctions held since 2009 have added 5,175 MW of wind turbines projects contracted by the Ministry of Mines and Energy, which would bring to country's wind power installations up to more than 7,200 MW by 2014 and attract more than 12 bn USD in investment.

Ambitious long-term targets for wind power development have been settled: Specific policy measures and Infrastructure investments, to ensure a sustainable growth of the industry and its supply chain.

URUGUAY

Wind energy prices drop in last public offer

National Power Company UTE may purchase up to 600 megawatts of electricity from wind turbines projects that participated in an auction for new wind farms. Companies including Spain's Enerfin Sociedad de Energia SA offered to provide power for as low as $62.35 dollars a megawatt-hour, prompting the government to consider buying more wind power. Wind energy is beating conventional power sources on price in head-to-head contests elsewhere in South America. Wind was the cheapest source of energy in a similar auction in Brazil last month.

The average cost of electricity generation in Uruguay is 73 a megawatt-hour and this may drop more.

A saturated market for new wind farms in Europe and the US has offered Uruguay an opportunity to install cheap power projects as turbine makers try to outbid each other for supply contracts.

Uruguay may have as much as 850 megawatts of wind turbines online by 2015, about a third of what's currently installed in the country, he said. It has about 100 megawatts commissioned or under construction.

It costs about 1.7 million dollars to install each MW of wind farm in Uruguay currently, seventeen companies proposed 1,097 megawatts of wind farms in last month's auction, UTE said on its website. The auction was originally seeking 150 megawatts of wind farms.

Bids were as much as 28% below those offered in a separate auction for 150 megawatts of wind farms completed in January, when prices varied between 85 and 87 dollars a megawatt hour, UTE said in a statement.

CHILE

Great combination of features offers great possibilities

Chile has a very interesting potential from renewable energy sources with a growing demand for electricity and a reliable regulatory framework. The Italian energy company Enel Group has several plans in the country, seeking to become a viable alternative to meet growing national energy demand.

There are not many places in the world that combine all these elements; among the initiatives promoted by the company a significant investment in Enel's first wind farm, in northern Chile which is already in the stage of approval, Enel Green Power has increased investment over 300% between 2010 and 2011 worldwide. In this context, the coming years the company plans to invest around U.S. $ 9,000 million, of which U.S. $ 2,100 million will be invested only in Latin America, especially
in Chile, Brazil and Mexico.

MEXICO

One more try to establish a NOM for Wind Industry

To establish protocols that conform to international standards regulating environmental impact and define the non-alteration of ecosystems, are some aspects that will include a Norma Oficial Mexicana (NOM) for generating wind power is currently being drafted.

NOM approved, would be useful for the state of Oaxaca, where the greatest concentration of wind farms in Mexico, and improve federal and state laws currently operating wind farm in Mexico.

The mapped signal to exploit the wind resource in Mexico is part of the process of developing the standard, where zones and areas of high and low environmental impact are identified.

PANAMA

License granted for 54 MW wind farm

The order by the National Authority of Public Services in Panama states that permission was granted " to the company called InnoVent CENTRAL AMERICA, SA registered to the SPC, and is for 'a provisional license for the exploration, development and exploitation of wind resources of the project called El Potrero, to be located in the districts of Pajonal and Penonomé Penonomé district and province of Cocle, with an installed capacity of 54 MW, comprising 27 turbines of 2.00 MW each. The characteristics of that type wind power station are described in documents accompanying the application which rests in the National Authority of Public Services.'

The license is valid for twelve (12) months from the date of the execution of the resolution

DOMINICAN REPUBLIC

Getting ready the red ribbon

President Leonel Fernandez would inaugurate next month the first wind farm with an installed capacity of 33 MW to be plugged to the distribution power lines.

According to the National Energy Commission, the plant will save up to 300,000 barrels per year in oil imports and 40,000 tons of CO2 in our atmosphere.

The KWh of this energy will be offered at a price of 13.5 US cents, about 3.5 US cents less than the energy generated from petroleum derivatives.

This phase represents a first stage, on which a second would be added to increase installed capacity to 83 MW in May 2012.

ARGENTINA

Rawson wind farm to start operations in November

Emgasud.Announced that the wind farm Rawson, which is currently under construction in the province of Chubut, will begin in November to provide power to the National Interconnection System (SIN), under the plan designed by the Government to diversify the energy matrix, while in February 2012 will come into full commercial operation.

In January this year the company began building the wind farm Rawson, composed Phase I (48.6 MW) and Phase II (28.8 MW).

ARGENTINA

754 MW out of 895 MW to wind energy

The Federal Planning, Public Investment and Services Ministry, duly instructed ENARSA to subscribe supply of electric generation from renewable energy sources contracts for a total power of 1.015 MW out of which 500 MW would come from wind power.

As a result of the so-called GENREN process, offers for 1.436,5 MW were received, surpassing by more than 40% the required power.

A total of 22 companies participated, generating the need to evaluate 51 projects, out of which 27 corresponded to wind Energy (1.182 MW).

After the Evaluation Committee analysis of technical, institutional, environmental and business aspects, an economic convenience order was set, which pondered the percentage of local component of the proposals (certified by ADIMRA), the offered prices and the central opening timing. In this direction, it was determined as convenient to award a total power of 895 MW out of which 754 MW corresponded to wind energy.

Regarding the prices duly presented in the offers, an improvement was required, which showed values of up to 20% of discount in some cases. As a result of these discounts, the prices per MWh of electric energy delivered at the connection joints are: for the 17 wind Energy projects, from US$121 per MWh to US$134 per MWh (estimated average for the whole US$126,9 per MWh);
The prices are fixed during the 15 years of validity of the contracts.