By modifying the market conditions, aiming to encourage new investments and increase the generation supply, the SE (former Secretariat of Energy) passed Resolution No. 220/07, which empowers CAMMESA (Compañía Administradora del Mercado Mayorista Eléctrico or the Argentine Wholesale Electricity Market Clearing Company) to enter into ‘WEM (Wholesale Electricity Market) Supply Commitment Agreements’ with WEM Generating Agents for the energy produced with new generation equipment. These are long-term PPAs (Power Purchase Agreement) denominated in US$, and the price payable by CAMMESA should compensate the investment made by the plant at a rate of return to be accepted by the SE. CTLL (Loma de la Lata Thermal Power Plant), CTP (Piquirenda Thermal Power Plant) and CTEB (Ensenada Barragán Thermal Power Plant) have entered into PPAs with CAMMESA under this Resolution, which account for a gross power capacity of 856 MW(1). Moreover, CTEB has an ongoing expansion project to add 280 MW.
Note: (1) It includes CTLL’s gas turbine GT04 power capacity, which is partially committed under this contract.