The Ministry of Energy and Mining announced this Friday, November 3, 2023, that a public tender for electricity distribution companies to supply additional energy to cover national demand during this dry period has begun.

With the public tender ‘Agreement on association for the supply of additional electricity needed to meet the needs for electricity at the national level in the dry period 2023-2024.’ 465 MW of electricity is required. They would come by barge or land solutions. The cost of this solution will be 160 million dollars, which will be borne by distribution companies, and prices will not increase for consumers.

Barges, gas imports, fuel oil engines are part of the measures that would stop power outages only in mid-December

The stages of the process are published on the website of Empresa Eléctrica Quito, which leads a group of electricity distribution companies in the country and launched the tender.

The ministry assured that this energy contract “will not generate a rate increase for citizens”.

Hours before the announcement, this state portfolio also issued a statement emphasizing that the national average rate for residential electric services remains at 10.4 cents per kilowatt hour and that there will be no increase due to the dry season.

This is a few days after the Deputy Minister of Electricity (e), Juan José Espinosa, said that “the issue of prices is something that must continue to be reviewed, the price table must be reviewed so that the system can have more liquidity, because in itself production, distribution and everything is not enough with 0.09 cents paid by the end consumer.” The official commented on this in an interview with Teleamazonas last October 31.

Deputy Minister of Electricity (e): The issue of prices is something that must be further reviewed

In Ecuador, blackouts officially began on Friday, October 27 in almost all of the country’s provinces, according to government officials, to protect the system and avoid an electrical collapse. A four-hour limit was announced in the Sierra and Amazon and three hours on the coast, but these times were reduced by 50% between Monday, October 30 and Wednesday, November 1, as it is expected that with the contribution of Colombia (450 MW) and Peru (50 MW) these restrictions are relaxed. During these holidays, the cuts have been suspended, and this Saturday the situation will be assessed and new decisions will be made.