Energía Pacífico

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The Energía Pacífico S.A. project consists of building and operating a biomass cogeneration power plant to be located in San Francisco de Mostazal, in Chile’s Region VI (63 kilometers south of Santiago). With an installed capacity of 15.6 MW, the plant will be able to generate 131.5 GWh of clean power and 297,500 tons of steam per year. All of the steam and part of the power generated will be sold to Compañía Papelera del Pacífico S.A. (CPP), a shareholder of Energía Pacífico. The remainder will be sold to the central interconnected system. Commercial start-up of the plant is expected in the last quarter of 2009.The company plans to seek greenhouse gas reduction certification and obtain carbon credits under the Clean Development Mechanism provisions of the United Nations Framework Convention on Climate Change.With this operation, the IIC will be supporting the development of an electric power project in Chile by providing the long-term financing (up to twelve years) that such projects usually require. Chile’s burgeoning domestic demand, power generation shortfall, and dependence on imported fossil fuels indicate that its energy market fundamentals are sound and should encourage visionary companies such as Empresas Coipsa S.A. to invest in this sector in Chile.