President Danilo Medina was in Punta Catalina yesterday, Sunday 15 December for the start of the construction of the Punta Catalina Thermoelectric Power Center in Peravia (Bani). Medina is convinced that the new 769.8 MW thermoelectric complex, a US$1.94 billion investment, will help reduce the government’s US$1.5 billion annual subsidies for the electricity sector. Medina says that he expects the subsidy to be reduced to US$450 million once the plants are in operation.
Medina said that more than 60% of the debt taken on by the government in recent years is to pay for power that the government does not collect from consumers due to the high price of generation.
He believes that with the reduction of the electricity subsidy, the debt taken on for the construction of the two power plants will pay for itself in four years.
In addition to the two 384.9 mw coal-fired power plants, the government will build a port for receiving the coal and for developing trade in the region.
The tender to build the plant was awarded to Constructora Norberto Odebrecht S.A.-Tecnimont SPA and local firm of Ingenieria Estrella SRL.
www.elcaribe.com.do/2013/12/16/medina-pais-resiste-pagar-mas-deficit-electrico