Ecuador will build and expand six new electrical transmission systems, allowing for greater generation of hydroelectric power, with the aid of a $150 million loan from the Inter-American Development Bank (IDB).

The construction projects will include the areas of Tabacundo and Riobamba toward the south of Yanacocha, the southwest area of Durán, the interconnection point of the Santo Domingo ­ Esmeraldas line and that of Pedernales – La Concordia.

The program will add 586km of transmission lines and enlarge 12 substations, allowing for transmission of extra hydropower generation. It will reduce requirements for thermal generation, respond to growth in demand from electricity distributors and strengthen both Ecuador’s interconnection with Colombia and the development of environmental specifications of the Extra High Voltage System between Ecuador and Peru.

Growth in demand for electricity in Ecuador has exceeded that of supply. In 2012, demand for energy was 6.1% higher than in 2011. In order to meet these challenges, the government of Ecuador has various hydroelectric construction projects under way, of which 2362MW will come on line over the short term.

Transmission of electricity generated with the new facilities will be ensured with investments from Electricity Transmission System.