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AES Fonseca power station

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AES Fonseca was a proposed 220-megawatt (MW) coal-fired power plant to be built in Puerto La Unión, El Salvador. It has since been converted to a natural gas-fired plant.

Location

The map below shows Puerto La Unión, the approximate location where the plant was to be built.

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Background

AES Fonseca was originally proposed in 2005 as a 220 MW plant, with a projected completion date of 2009 and an estimated cost of US$300 million.[1] By 2008, cost projections had doubled to US$600 million due to rising steel prices, but AES had obtained financing, and construction was expected to begin in early 2009.[2] As of mid-2009, construction had been placed on hold pending the outcome of an international tender in which AES was slated to compete with other bidders for energy contracts.[3]

A year later, AES announced that it would fuel the plant with natural gas rather than coal[4], but the project remained stalled due to unfavorable economic conditions in El Salvador.[5]

In April 2011, La Unión mayor Osmar Cruz signed a new municipal ordinance prohibiting coal-, oil- and natural gas-fired power plants, further jeopardizing the plant's prospects.[6] As a result of this ordinance, AES Fonseca opted not to participate in El Salvador's March 2012 energy tender.[7]

In August 2012, new mayor Ezekiel Milla reconfirmed the town's prohibition of coal-fired plants, but reversed the previous ban on natural gas plants.[8] As of 2014, AES Fonseca was planning the construction of a US$548 MW, US$1 billion natural gas-fired plant in Puerto La Unión.[9]

Project Details

  • Sponsor: AES El Salvador
  • Parent company: AES
  • Location: Puerto La Unión, El Salvador
  • Coordinates: 13.336944, -87.843889 (approximate)
  • Status: Cancelled
  • Gross Capacity: 220 MW
  • Type: Subcritical
  • Projected in service:
  • Coal Type:
  • Coal Source:
  • Source of financing:

Articles and resources

References

  1. "AES to build 220MW coal-fired plant on Fonseca gulf coast,", BNAmericas, August 30, 2005.
  2. "$600 million for coal plant in El Salvador,", Central America Data, June 17, 2008.
  3. "Possible Delay in Coal Plant in El Salvador,", Central America Data, June 4, 2009.
  4. "Natural Gas Generator in El Salvador,", Central America Data, December 12, 2011.
  5. "El Salvador: $ 2,000 Million Investment Frozen,", Central America Data, November 17, 2010.
  6. "La Unión prohíbe inversiones energéticas,", El Mundo, February 15, 2012.
  7. "AES Fonseca will not Participate in Power Tender,", Central America Data, March 16, 2012.
  8. "El Salvador: No to Coal and Bunker in La Union,", Central America Data, August 15, 2012.
  9. "AES Fonseca,", AES El Salvador website, accessed April 2014.

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External resources