Chamber of Deputies Approves International Credit Agreement for National Electricity Administration Expansion

Chamber of Deputies Statement

(Editorial: Press – Communication Department). The Chamber of Deputies submitted to the plenary for consideration an international credit agreement for a total value of USD 120 million, for the National Electricity Administration (ANDE), with the aim of increasing the capacity of the north and west transmission system and part of the distribution system of the country’s Lower Chaco.

This is a bill with half approval with half approval from the Chamber of Senators, which approves a loan contract, signed between ANDE and the Kreditanstalt Fur Wiederaufbau (KFW), for an amount of up to USD 75,000,000.

The same project also provides for the authorization for the approval of a loan contract, this time between ANDE and the Financial Fund for the Development of the La Plata Basin (FONPLATA), for an amount of up to USD 45,000,000.

The signing of guarantee contracts between the Republic of Paraguay, KFW and FONPLATA is also expected, for the financing of the Construction Project of the 220 kv Transmission Line – Villa Hayes – Villa Real – Pozo Colorado – Loma Plata and the substation Colorado well at 220 kv, in the Western Region.

Deputy María Cristina Villalba (ANR-Canindeyú), in her capacity as president of the Budget Committee, mentioned that the general objective of the project is to increase the capacity of the north and west transmission system and part of the distribution system of Bajo Chaco from the country.

He added that to increase capacity it is necessary to build 220 KV transmission lines, a Substation in Pozo Colorado and the construction of 4 new feeders in the area of ​​influence of Pozo Colorado.

“All these plans are planned with the objective of accompanying the growth of the projected demand in the area and guaranteeing the supply of electrical energy with reliability and security, in accordance with the planning criteria and contributing to the socioeconomic development of the population in the area of influence of the project”, states the document.

The total cost of the project amounts to USD 126.13 million, which will be financed with the co-financing of the KFW loan for up to USD 75 million and Fonplata for up to USD 45 million, with a local counterpart of USD 6.13 millions.

The project was approved and sent to the Executive Power for its study and consideration.