On May 10, 2017 the SEE (Secretariat of Electric Energy) issued Resolution No. 287/17 launching a call for tenders for co-generation projects and the closing to CC (Combined Cycle) over existing equipment. The projects should have low specific consumption (lower than 1,680 kcal/kWh with natural gas and 1,820 kcal/kWh with alternative liquid fuels), and the new capacity should not increase electricity transmission needs beyond the existing capacity; otherwise, the cost of the necessary extensions would be borne by the bidder.
Awarded projects were remunerated under a PPA (Power Purchase Agreement) for a term of 15 years. The remuneration is made up of the available power capacity price plus the variable non-fuel cost for the delivered energy and the fuel cost (if offered), less penalties and fuel surpluses. Power capacity surpluses would be remunerated as legacy capacity.
Within this framework, in September 2017 the SEE issued Resolution No. 820/17 awarding only three co-generation projects for a 506 MW power capacity, and in October 2017, pursuant to Resolution No. 926/17, it awarded projects for a total 1,304 MW power capacity, where Pampa was awarded the closing to CC in the Plus unit at CTGEBA (Genelba Thermal Power Plant) for 383 MW. Commercial operations at open cycle started in June 2019, and at closed cycle on July 2, 2020.
Based on the moderate demand growth, the entrance of renewable generation and widespread work delays, through Resolution No. 25/19 of the SRRYME (Secretariat of Renewable Resources and Electricity Market) it was required the ratification of the commercial commissioning dates for the awarded projects. Moreover, it provided the option to extend this date for up to 180 days and established a penalty scheme for the corresponding delays. Pampa ratified Genelba Plus CC’s commercial commissioning date.