Managua, Nicaragua --- (METERING.COM) --- July 3, 2009 - A $20 million concessional loan has been approved by the Inter-American Development Bank to help improve the quantity, reliability and quality of the energy supply in Nicaragua.
The three components of the program include the rehabilitation and expansion of Empresa Nacional de Transmisión Eléctrica's (ENATREL) transmission grid and the adoption of steps to reduce energy losses, as well as the modernization of renewable energy projects that are the main power sources of Generadora Hidroeléctrica S.A. (HIDROGESA), a subsidiary of Empresa Nicaragüense de Electricidad (ENEL)
The transmission program involves the rehabilitation of existing lines and construction of new lines as well as the upgrading of substations.
The loss reduction program comprises a range of measures including surveys on the capacity to pay, social communication, education on the use and saving of energy in the home, and visual inspections.
“This program supports the Nicaraguan government’s efforts to create a more diversified and sustainable energy matrix while mobilizing additional co-financing resources and promoting climate change adaptation and mitigation activities,” said José Ramón Gómez, the IDB team leader on the project.
This is the IDB’s third loan for the program, the first loan having been approved in December 2007 ($32.7 million) and the second in December 2008 ($40.2 million). The European Investment Bank and the Central American Bank for Economic Integration are also contributing with funding, helping raise a grand total of $144.2 million for the program.