Chepete-Bala: Solón warns economic damage to the State of US $ 13 million

In this Spanish-language blog post by the Fundacion Solon, it is reported that Pablo Solón sent a letter in 2017 to the Minister of Justice, Héctor Arce, requesting an investigation of the economic damage to the State of continuing with the Chepete Bala hydroelectric megaproject, when Geodata warned that it would not be profitable. According to this post, the State has already incurred almost 13 million dollars in costs due to additional studies conducted after the Italian firm Geodata Engineering warned of the non-profitability of the complex multi-million dollar project. Geodata recommended postponing the El Bala hydroelectric project and as for El Chepete, it would be profitable if the going price for electricity was $ 80 per Mw / h.

According to information provided by the former Minister of Energy and Hydrocarbons, Luis Sánchez, the average cost of electricity in the Brazilian market between 2006 and 2016 was US $ 52 Mw / h, very much below the price at which Bolivia should export if it wants to cover production and export costs and be profitable for the country.

Solon described the statements of the President of ENDE as irresponsible, when he assured that the country will export 700 Mw because that is the surplus, when there is no secured market for that electricity. As for Argentina, Solon said that Bolivia fulfilled its part of the agreement to build transmission lines in national territory to the border to export 120 Mw, but Argentina did not install the lines.