Fitch Ratings calls Dominican Republic coal-fired plants ‘efficient’

Santo Domingo.- Fitch Ratings affirmed Thursday that theDominican Republic could displace less efficient generators when the 720 megawattsof energy from the Punta Catalina coal-fired power plants come online.

It said Punta Catalina’s impact will not only stabilize energyprices, but also cope with the increased demand in a dynamic and growingeconomy.

Fitch Ratings said energy sector indicators point to arising demand that will require an additional 350 megawatts. it said the PuntaCatalina plants will be “very important for the country” because they’ll displaceless efficient facilities.

In a a press conference, the Punta Catalina consortium and JulioCesar Ugueto, official of the State-owned Electric Utility -CDEEE-, said thereare diesel-powered plants and others that are used only as backup because theyare too expensive and will be displaced.

"The entry of this plant managed by the CDEEE willobviously displace less efficient units. And enter the market in an orderlymanner, as there is a growing demand of 350 megawatts or so, that it’s entrywill not affect the system," Ugueto told reporters, accompanied by plantsenior officials Natalia O’Byrne, and Monica Saavedra.