On March 1, 2019, Resolution No. 1/19 of the SRRYME (Secretariat of Renewable Resources and Electricity Market) was published, which modified certain aspects of the remuneration scheme previously defined by Resolution No. 19/17 of the SEE (Secretariat of Electric Energy).
Thermal Power Generators
For generators without a DIGO (Guaranteed Availability Commitments) declaration, the following table of base prices for power capacity was applied:
|Technology / Scale||Capacity’s Base Price
(US$ / MW-month)
|Large CC (Combined Cycle) Capacity > 150 MW||3,050|
|Small CC Capacity ≤ 150 MW||3,400|
|Large ST (Steam Turbine) Capacity > 100 MW||4,350|
|Small ST Capacity ≤ 100 MW, Internal Combustion Engines||5,200|
|Large GT (Gas Turbine) Capacity > 50 MW||3,550|
|Small GT Capacity ≤ 50 MW||4,600|
Furthermore, a DIGO offer scheme was established for quarterly periods: a) summer (December through February); b) winter (June through August), and c) ‘other’, which comprises two quarters (March through May, and September through November). For agents with a DIGO declaration, the guaranteed capacity price was applied, which equaled US$7,000/MW-month in the summer and winter quarters, but US$5,500/MW-month in the ‘other’ quarters.
Additionally, the capacity remuneration ―whether or not the agent had a DIGO declaration― was weighted by a load factor equivalent to the average dispatch factor for the generating unit during the rolling year prior to the calculation month, and applied a coefficient to the power capacity remuneration if the load factor was: i) higher than 70%, 100% of the power capacity remuneration was paid; ii) lower than 30%, 70% of the power capacity remuneration was paid; and iii) between 30% and 70%, the power capacity remuneration was linearly associated with between 70% and 100% of the power capacity remuneration.
Generated energy remuneration values were reduced by US$1/MWh for all technologies except for internal combustion engines, where the reduction was of US$3/MWh. The remuneration value for operated energy was reduced from US$2/MWh to US$1.4/MWh.
Finally, the additional remuneration schemes were abrogated: capacity remuneration to encourage DIGO during peak demand period, variable remuneration for efficiency, and power capacity remuneration for low-use thermal generators.
Hydro Power Generators
SRRYME Resolution No. 1/19 maintained the base prices for power capacity established by SEE Resolution No. 19/17, as well as remuneration values for generated and operated energy. However, as regards the power capacity payment, the hours during which a hydroelectric generator was not available due to programmed and agreed maintenance were no longer computed for the calculation of the power capacity remuneration. However, in order to mitigate this impact, in May 2019 Note No. 46631495 of the SME (Subsecretariat of Electricity Market) provided for the application of a 1.05 factor on the capacity payment.
For generation from unconventional sources, a single remuneration value for generated energy was established at US$28/MWh, or 50% of this value if it is generated prior to commercial commissioning.
As regards the refund of the amount disbursed to generators under the loan agreements for the execution of overhauls in their units, the application of all receivables accrued in favor of generators for settlement was established, as well as a discount scheme in the generator’s revenues equivalent to the maximum between US$1/generated MWh or US$700/MW-month for the unit’s real availability.