Colombia qualifies 8 buyers for renewables supply call

Eight electricity distributors and traders have qualified to take part in Colombia's first auction for long-term supply contracts from renewable projects this month, according to mines and energy ministry planning unit UPME.

The companies are Electrificadora del Meta, Electrohuila, Empresa de Energía de Boyacá, Cedenar, Electrificadora del Caribe, Codensa, Enel Emgesa and Gecelca, UPME said in a statement.

The ministry said earlier this month that 12 companies had sought to participate as buyers.

The February 26 reverse auction will offer 1.183TWh a year to bidders via power purchase agreements lasting 12 years.

Projects are due online in December 2021 and will boast combined installed capacity of around 1.5GW, requiring investment of US$1.3bn to US$1.8bn, according to UPME.

Developers have requested the participation of 22 non-conventional renewable energy plants: 17 solar parks, four wind farms and one biomass plant.

In related news, local transmission company ISA was awarded a contract to build and operate the 220kV El Río substation and associated power lines in the northern department of Atlántico.

The project is due online in June 2022 and will provide annual revenue of US$10.84mn, according to an ISA statement.