Power Companies has invested U.S. $8,200 million since gas crisis
Investments represent 70% of profits in six years, but only 40% of EBITDA generated by companies.
The stoppage of investments that affect the electricity sector in recent years, which worsened after cases like Barrancones (Endesa), concerns the authority and the same companies, which have wielded more difficult to carry out the projects because the prosecution and opposition of communities.
The topic has been addressed by the Minister of Energy, Maximo Pacheco, who said that low levels of investment have influenced the high costs.
“It Foul dynamic investment and utilities talk about external factors, the prosecution and the problems with the communities, but this country is the same for mining companies, which spend much of their cash flow,” he brought before parliament .
Pacheco met yesterday with the Minister of Finance, Alberto Arenas, and Economy Minister Luis Felipe Céspedes; Mining Minister, Aurora Williams; Housing, Paulina Saball; National Property, Victor Osorio; Public Works, Alberto Undurraga; and Environment, Paul Badenier to refine measures of the energy agenda that will be announced in the coming days by President Bachelet.
According to the Superintendency of Securities and Insurance (SVS)’s data, reported earnings for the four main generating companies operating in the Central Interconnected System (SIC) and Norte Grande (Sing)-Endesa, Colbún, AES Gener and E-CL – totaled U.S. $ 11,578 million between 2007 and 2013, while their investments in generation projects totaled U.S. $ 8,233 million.
When considering the EBITDA-earnings before interest, taxes, depreciation and amortization, a standard measure to determine the financial “health” of companies, investments made in the period represent 39.5% of the U.S. $ 20,850 million recorded jointly by the companies.
Gastón Forte, Banchile’s Electric Analyst explains that investments in recent years were marked by the Argentine gas crisis, after since 2007 the country failed to have that fuel.
“In the SIC, in recent years, what was done was a change in the energy matrix, much was invested in coal plants after the gas crisis in Argentina. The system had to adapt, and every major company had its project. There was a response to this crisis, “Forte said.
Although the overall investment figure is high, differences between firms are large. Francisco Aguirre, from Electroconsultores, points out that this is related to the profile of each company and their participation. “Today there is no company that does not do development based on supply contracts it has,” he said.
Endesa, the largest generator company in the country-in period (and as reported by the SVS) accumulated profits of U.S. $ 7,424 million, while its investment in generation projects totaling U.S. $ 1,350 million, up 1,372 MW, with plants like Bocamina II,Taltal and San Isidro complex, and the two stages of the Canela wind farm.
Colbún-linked to Matte group made investments of U.S. $ 2,097 million in the period, while its profits between 2007 and 2013 amounted to U.S. $ 1,918 million. Here, the main projects were Santa Maria and Angostura.
AES Gener invested U.S. $ 3,586 million, while its profits totaled $ 1.474 million, with projects like Campiche, Angamos and units IV and V of Guacolda.
E-CL (Suez) Invested $ 1.200 million, while profits totaled, U.S. $ 762 million in the period.
Source: La Tercera
