Argentina approves transmission project plan, cites $1 B IDB credit line
Argentina, Buenos Aires: Argentina’s federal energy department approved a transmission plan that involves work in all the country’s provinces.
The plan comprises 23 batches of projects, encompassing both greenfield and expansion work in the power line and transformer station segments.
Work is planned in Río Negro, Neuquén, Catamarca, Tucumán, Formosa, Chaco, Misiones, Santiago del Estero, Santa Cruz, Entre Ríos, Chubut, La Pampa, Salta, Buenos Aires, Corrientes, San Juan, San Luis, Santa Fe, Córdoba, Jujuy, La Rioja, Mendoza and Tierra del Fuego provinces.
Wholesale power market administrator Cammesa has assessed the impact of the projects, some of which would support a reduction in liquid fuel-fired generation and the addition of renewables plants into the grid, according to a resolution in the official gazette.
The resolution was issued almost in parallel with an announcement, by regional development bank IDB, of a $1.14 B conditional credit line geared to energy sector decarbonization. Credit line funds would be used to support the transport plan project, the resolution states. Cammesa would also contribute, for priority projects, up to 75 % of resources in the export account of its stabilization fund, it added.
The federal trust fund for electricity transport (FFTEF) would be in charge. FFTEF’s administrative committee, CAF, is tasked with putting out associated contracts to tender and producing technical reports, among other duties.
Once the work is carried out, the infrastructure would be transferred to the corresponding public services concessionaires.
Last month, Argentina’s government received over 480 energy project proposals. The projects were submitted following a call made earlier this year to help spur a build-out of renewables plants and storage systems that support a reduction in forced generation and are near centres of consumption. The government also wants to create regional electricity markets.
Overall, Argentina needs to boost grid capacity to help support continued growth in renewable power generation.