Generadora Itabo, the Coastal-Gener consortium that in September won the bid to take over several state power utility generating units, announced it will double its production adding 470 megawatts in the next three years. The company announced its is investing in the installation of two new Itabo-type generators as well as repairing already installed plants. In partnership with the state-owned Corporación Dominicana de Electricidad, the company would invest US$35 million from now through year 2002, 117% more than the US$177.7 million they bid to obtain 50% of the CDE power units. Engineer Sergio del Campo, general manager of the Generadora Itabo, told the press that by the year’s end the company will have added 150 megawatts with the repair of installed plants. By 2002, the company promises that 320 new megawatts will go on line with the entering into operation of the new Itabo III and IV. The privatization contract establishes that Generadora Itabo has to increase its generation by at least 100 megawatts per year. Del Campo said that from 8 September to the present, the company has already increased generation capacity by 80 megawatts with prospects to increase to 150 megawatts by the year’s end. The Itabo I and II originally had an installed capacity of 125 megawatts each, but the plants were received in very bad condition. Other Generadora Itabo plants are the Vapor I, Vapor II, Itabo Turbogas I, II and III. Central de Higuamo (Higuamo I and II), Central Santo Domingo-Timbeque (Santo Domingo V and VIII, Timbeque I and Timbeque II) and Central de los Minas (Los Minas I and Los Minas II). Many of these plants have high operational costs. One of the main reasons for the power outages in the DR is the deficit of production. Once online, the Itabo power plants will sell power to the electricity grid at lower costs than that established by private power firms that negotiated their contracts during a past Balaguer administration.
