Colombia on Feb. 26 failed to award 23 energy generation and commercialization contracts in its first renewable energy tender, because the results would have violated antitrust rules, the energy ministry said.
The government received proposals from 27 local and international companies to participate in the auction, the Andean nation's attempt to diversify and increase electricity supply with projects in solar, wind and biomass.
The projects, which were to start generating electricity in 2021, were not tendered because only a few of the participating companies would have received contracts, which is against the country's antitrust rules.
Among the bidders were the Colombian unit of Italy's Enel SpA, Canadian Solar Energy, Isagen and Epsa, as well as several other local companies.
Some of the commercialization offers were so low that they matched generation prices, Mines and Energy Minister Maria Fernanda Suarez told reporters.
"There's a concentration of generation projects and we wanted the process to ensure that there was a lot of competition, for this reason there was no awarding," she said.
The government will hold a new auction before the end of the first half of the year, she said.
"We need to add up all that we've learned so our next auction can be successful and there can be an awarding."
Colombia produces about 70% of its electric power through water sources, 20% from gas and liquid fuels, and 8% coal.
Only 2% of the energy produced by Latin America's fourth-largest economy comes from renewable sources - some 50 megawatts - but the government wants to increase it to 9% in the next four years, or about 1,500 megawatts.
Recommended Reading
BPX Looks to Ramp US Production Over 60% by 2030
2024-05-16 - BPX Energy is looking to boost its U.S. production over 60% by 2030 as it considers bringing online a fourth processing facility in the Permian by mid-year 2025, Clark Edwards, the company’s vice president of development, said during SUPER DUG in Fort Worth.
ConocoPhillips: Permian Basin a ‘Growth Engine’ for Lower 48
2024-05-15 - ConocoPhillips views the Permian Basin as a “growth engine” within its Lower 48 portfolio, the company’s Midland Basin Vice President Nick McKenna said during Hart Energy’s SUPER DUG event in Fort Worth.
UpCurve CEO on Keeping Production Pace, Exploring Larger Deals
2024-06-11 - UpCurve Energy CEO Zach Fenton, discusses the company’s growth plans for 2024 and how UpCurve’s well production has evolved, in this Hart Energy Exclusive interview.
US Drillers Cut Oil, Gas Rigs to Jan 2022 Low for Third Week
2024-06-21 - The oil and gas rig count fell by two to 588 in the week to June 21. Baker Hughes said that puts the total rig count down 94, or 14% below this time last year.
URTeC: E&Ps Tap Refrac Playbook for Eagle Ford, Bakken Inventory
2024-06-17 - Refracs and other redevelopment projects might not be needle-moving growth drivers—but they’re becoming more common for E&Ps levered in maturing plays like the Eagle Ford and Bakken, experts discussed at URTeC 2024.