The National Energy Policy of Nicaragua establishes a policy framework for the development and exploitation of renewable sources. The law sets the objective of prioritizing the use of renewable energy in the national energy mix and of stabilizing energy p. Contact online >>
The National Energy Policy of Nicaragua establishes a policy framework for the development and exploitation of renewable sources. The law sets the objective of prioritizing the use of renewable energy in the national energy mix and of stabilizing energy p.
Policy and regulation. The regulatory entities for the electricity sector in Nicaragua are: [9] The Ministry of Energy and Mines (MEM), created in January 2007, replaced the National Energy Commission (CNE). The MEM is in charge of producing the development strategies for the national electricity sector.
Nicaragua: Many of us want an overview of how much energy our country consumes, where it comes from, and if we''re making progress on decarbonizing our energy mix. This page provides the data for your chosen country across all of the key metrics on this topic.
developing areas. Energy self-sufficiency has been defined as total primary energy production divided by total primary energy supply. Energy trade includes all commodities in Chapter 27 of the Harmonised System (HS). Capacity utilisation is calculated as annual generation divided by year-end capacity x 8,760h/year. Avoided
Energy Policy. The energy sector is regulated through several laws, decrees and norms. The key primary and secondary laws and regulations for the power sector are: "Electricity Industry Law" (Ley de la Industria Eléctrica) (No 272-1998) and "Electricity Industry Law Regulation" (Decree No. 42-1998). This law defines actors, their role
Nicaragua is the country in Central America with the lowest electricity generation,[1] as well as the lowest percentage of population with access to electricity. The unbundling and privatization process of the 1990s did not achieve the expected objectives, resulting in very little generation capacity added to the system. This, together with its high dependence on oil for electricity generation (the highest in the region), led to an energy crisis in 2006 from which the country has not fully recovered yet.
Nicaragua is largely dependent on oil for electricity generation: 75% dependence compared to a 43% average for the Central American countries. In 2006, the country had 751.2 MW of nominal installed capacity, of which 74.5% was thermal, 14% hydroelectric and 11.5% geothermal. 70% of the total capacity were in private hands.[1]
Gross electricity generation was 3,140 GWh, of which 69% came from traditional thermal sources, 10% from bagasse thermal plants, 10% from hydroelectricity, and 10% from geothermal sources. The remaining 1% corresponds to the electricity generated in the "isolated" systems. The detailed breakdown of generation among the different sources is as follows:[3]
Although nominal installed capacity has increased by 113 MW since 2001, effective capacity has only increased by 53 MW, remaining as low as 589 MW in 2006.[3] The large difference between nominal and effective capacity is due to the existence of old thermal plants that do not operate properly and that should be either refurbished or replaced.
In 2006, total electricity sold in Nicaragua increased 5.5%, up to 2,052 GWh, which corresponds to 366kWh annual per capita consumption. The consumption share for the different economic sectors was as follows:[1]
Maximum demand has increased in Nicaragua at an annual rate of about 4% since 2001,[1] which has led to a low reserve margin (6% in 2006). Furthermore, demand is expected to increase by 6% per year for the next 10 years, which increases the need for new generation capacity.[2]
In 2004, the National Energy Commission (CNE) developed the National Plan for Rural Electrification (PLANER), which established goals and investment figures for the period 2004–2013.[6] Its objective is to bring power to 90% of the country''s rural areas by the end of 2012.[7] The Rural Electrification Policy was approved in September 2006 as the main guide for implementation of the PLANER.[8]
In 2003, the average number of interruptions per subscriber was 4 (weighted average for LAC in 2005 was 13), while duration of interruptions per subscriber was 25 hours (weighted average for LAC in 2005 was 14).[4] However, the situation worsened during the energy crisis in 2006, when large sections of the country suffered continuous and lengthy blackouts (See Recent developments below).
In 2006, distribution losses in Nicaragua were 28.8%, the highest in Central America together with Honduras, whose average was 16.2%.[1] This is one of the most acute problems faced by the sector in Nicaragua, as it leads to very large economic losses. This problem is partially caused by the widespread existence of illegal connections, altered metering systems and low bill collection capacity in certain areas.
The National Dispatch Center (CNDC) is the operational body in charge of administering the Wholesale Electricity Market (MEN)and the National Interconnected System (SIN).
In 2006, there were 10 generation companies in the National Interconnected System, eight of which were in private hands. The number and type of plants operated by each company was as follows:[1]
In Nicaragua, 100% of the transmission is handled by ENATREL, which is also in charge of the system''s dispatch.[1]
In Nicaragua, the company Dissur-Disnorte, owned by the Spanish Unión Fenosa, controls 95% of the distribution. Other companies with minor contributions are Bluefields, Wiwilí and ATDER-BL.[1]
The "Indicative plan for the generation in the electricity sector in Nicaragua, 2003-2014" does not set any target or legal obligation for the development of renewable resources in the country.[10] However, in April 2005, the government approved Law No. 532., the "Law on Promotion of Electricity Generation with Renewable Resources". This law declared the development and exploitation of renewable resources to be in the national interest and established tax incentives for renewables.
NPR reported in 2015 that Nicaragua was increasing its renewable energy capacity. The report said that renewables generated nearly half the country''s electricity, and that this could rise to 80% in the near future.[11]
Currently, hydroelectric plants account only for 10% of the electricity produced in Nicaragua. The public company Hidrogesa owns and operates the two existing plants (Centroamérica and Santa Bárbara).
As a response to the recent (and still unresolved) energy crisis linked to Nicaragua''s overdependence on oil products for the generation of electricity, there are plans for the construction of new hydroelectric plants. In 2006 the Central American Bank for Economic Integration (BCIE) and the Government reached an agreement by which the BCIE will provide US$120 million in the next five years (2007–2012) in order to finance several hydroelectric projects:[12]
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