El Salvador and Bolivia are looking forward to “an opportunity for integration [and] greater income” via a partnership that will allow short-term energy integration between the two countries. State-owned Bolivian oil company, YBFB, will become a supplier, marketer and distributor of LPG to El Salvador, while the latter country with Salvadoran company LaGeo will provide support on a 5 MW geothermal pilot project in Bolivia.
The countries will cooperate on a thermoelectric plant in El Salvador, also to be led by LaGeo. The thermoelectric project in El Salvador will have an installed capacity of 120 MW and will work with LPG, imported from Bolivia.
The partnership gives a boost to Bolivian projects such as Laguna Colorada and provides an the opportunity to build a partnership between Bolivian state-owned electricity company ENDE and a company in El Salvador. The agreement outlines a one-month deadline for El Salvador to submit a trade proposal on prices and quantities of LPG to be supplied by Bolivia. Minister Sánchez has high hopes, saying that LPG is more competitive than diesel, advances plans to build the thermoelectric plant, and influences other Central American neighbors who rely more heavily on fossil fuels.
