The 3 urgent measures to prevent a financial blackout in the energy sector

Tomás González explained that part of the companies’ liquidity crisis stems from the measures adopted in 2020 by the Commission for the Regulation of Energy and Gas (Creg), whereby through the tariff option they had the possibility to recover outstanding balances .

“There have been rate reductions in the past, especially during the pandemic, and those reductions had to be recouped within a certain period of time. With the measures that have been taken, this possibility has meant that the recovery is much slower and that is part of the crisis.”

Germán Corredor, former president of the Colombian Renewable Energy Association, SER, He asked that the government could also make decisions through regulations. One of these, Corredor proposed, is to make payment terms more flexible for marketers and when purchasing energy through the Creg.

“I don’t see a possible financial blackout, because it is not the entire sector that is at risk, but companies in the Caribbean because of the high debts. And rapid management by the government is needed.”

As for intervention through regulatory measures with the CregAmilkar Acosta specified that because it is a measure that concerns the formation of the price and the determination of the rate, it must comply with two fundamental principles established in the Public Services Act 142 and Act 143 of 1994, such as financial adequacy and efficient costs of companies, measures that put them at risk should not be taken lightly.

“Since what puts the most pressure on energy prices in the stock market is the postponement and cancellation of the implementation of projects, both generation and transmission, that have the National Interconnected System (SIN) in the highest degree of stress, a shock plan is in place must be implemented to accelerate this.”

While energy consumption increases in national average at a rate of 6% and in the Caribbean with 11%, the supply only increases to 2.5%. “This explains the squeeze we are in, where demand on normal days is around 222 GWH/day, while supply is barely 225 GWH/day,” Acosta added.

The credits promised to marketers through Findeter national generation projects, which are behind schedule, and that they must generate and dissipate energy, and the stability that the Energy and Gas Regulation Committee (Creg) with its commissioners are the three measures that the government must prioritize, Tomás González emphasizes. “So regulations can influence this and I would like to mention that it is very important to get out of this crisis and the situation is that we have to make clean generation projects indispensable.”

Source: El heraldo