Tuesday 20 October 2009
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Lack Of Rainfall Forces Possible Higher Electricity Rates

The lack of rainfall this rainy season will cost us all as the Instituto Costarricense de Electricidad (ICE) is readying to request an increase in electrical rates as it faces higher expenditures in the generation of electricity to keep the lights on in Costa Rica.

The lack of rainfall in the Central Valley, Pacific and Northern zone also has farmed and ranchers worried, as they are finding it more difficult every day to feed their livestock and sowing their crops.

For ICE, it has had to spend during the last 18 days in excess of ¢3.3 billion colones on fuel purchases used to generate electricity at its thermal plants, while the hydro plants drop in production due to low flow rates and reservoir levels drop to dangerous lows.

Salvador López, del Centro de Control de Energía del ICE assures that there won't be any blackouts or rationing this year as in 2007, but that will come at high price and as such ICE will soon be asking the Autoridad Reguladora de Servicios Públicos (ARESEP) for an increase to offset the higher costs this year.

The ARESEP is the same regulating body that sanctioned ICE this week ¢1.5 billion colones for overcharging with its 900 telephone service

"There is a serious shortage of rainfall due to El Niño, in fact in the month of October there was a deficit of 12% in the Central Valley," said meteorologist Max Mena.

The meteriologist added that the effect of El Niño could affect Costa Rica until next March.

Salvador López of ICE said that the state power utility will need greater budgetary requirements and for that it will need to seek a rate increase to offset the increased costs.


 
 












 
 

 

 


 
 
 
 

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