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Economy Due to the heat wave and record electricity consumption, the Government will continue with the additional import of electricity - Infobae

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Due to the heat wave and record electricity consumption, the Government will continue with the additional import of electricity - Infobae
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February 02, 2024

In recent days the number of supply cuts in the AMBA has increased. The Ministry of Energy warns that the system “is saturated and on the verge of collapse”

By Agustin Maza


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This Thursday, electricity consumption set a new record. EFE/Neil Hall EFE

Due to the record consumption of electricity in the face of the heat wave that hits the entire country, the Government has decided to continue with additional imports of electricity to cover demand peaks. It is within this framework that since this Thursday the number of supply outages in the Buenos Aires Metropolitan Area (AMBA) has skyrocketed while the Ministry of Energy warns that the system “is saturated and on the verge of collapse” as a result of both years of lack of investment and frozen rates .

The Management Company of the Wholesale Electricity Market Sociedad Anónima (Cammesa) reported that for this Friday at 3 p.m. a new record is expected for a business day in the demand registered in the National Interconnected System (SADI) , greater than 30,000 MW throughout the Argentina. If so, this value will be above the one reached at 2:48 p.m. yesterday when the SADI marked 29,105 MV and surpassed the previous mark of March 2023.

This dynamic led the Government to take two specific measures. The first was to bring the average daily import of electrical energy from Brazil to 1,529 MW, from Uruguay to 177 MW, Bolivia 100 MW and Chile 80 MW. The system also operates with minimal technical reserves to avoid untimely collapses.

From the Ministry of Energy led by Eduardo Rodríguez Chirillo, they told Infobae that the idea is to continue with additional imports to cover demand peaks "to the extent that the alternative is to dispatch more inefficient equipment with liquid fuel at a cost of up to double than electrical energy.”

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The Secretary of Energy warned about the situation of the electrical system.

“Before the heat wave it was imported for economic reasons and contributions in critical points of the SADI, such as in the Argentine Northwest. Due to its magnitude, the import from Brazil is relevant and is used occasionally for economic reasons or to cover demand on days of high consumption due to the heat wave. We try not to exhaust all the energy reserves,” they explained from the agency.

Yesterday a jump in the number of supply cuts began to be recorded. Those affected in the AMBA were almost 56,000 of which 39,057 users correspond to the Edesur influence area and 16,895 correspond to Edenor. At this time there are almost 37,000 cases of lack of electricity.

As Energy explained, the measures announced in the last few hours “seek to mitigate a system that today is saturated and on the verge of collapse, a product of years of lack of investment and frozen rates. This generated extreme vulnerability of the system evident in minimum reserve levels.”

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The Government is preparing strong increases for electricity and gas rates. EFE/JUAN CARLOS HIDALGO/ EFE Archive

During the last public hearing for the adaptation of AMBA distribution rates, in which the situation of the distributors Edesur and Edenor was analyzed, Rodríguez Chirillo maintained that the rates cover only 45% of the generation and transportation price. “The remaining 55% is paid by all citizens, whether or not they have electricity supply, through the national budget,” he described.

On the other hand, the Secretary highlighted that during the last 20 years, the National State has compensated for the lack of collection from CAMMESA through the Unified Fund, contributing a total of USD 104,000 million, for the benefit of all distributors in the country. “All this amount of money, if the electricity sector had worked well, could have been applied to sectors that urgently need it such as health, education and the pension system, among others,” he noted.

In that sense, the Government committed to the International Monetary Fund (IMF) that there will be increases in electricity of more than 200% from February, which will imply a strong impact on pockets. Together with the increases in gas, above 150%, they aim to reduce subsidies by 0.5 points of GDP this year. The deregulation of the energy sector and the liberalization of prices seeks to encourage investments in the sector.
 
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