10JAN25⚡️📑📄
"Contracts for 532 Megawatts power plants Canceled: Worlding Did Not Provide Guarantees, Says Minister Manzano

Acting Minister of Energy, Inés Manzano, announced that in the coming days, the Villonaco wind energy project will be signed, and public hospitals like Baca Ortiz in Quito will gain access to photovoltaic energy.

Contracts Canceled

On January 10, 2025, Minister Manzano explained that the government terminated contracts with Ecuadorian company Servicios de Ingeniería y Montaje Worlding S.A., which had formed three consortia with other firms to provide emergency power generation for Ecuador.

In November 2024, Worlding secured three contracts worth $372 million to deliver 532 megawatts (MW) of thermal energy to address Ecuador's electricity crisis.

However, the government, led by President Daniel Noboa, terminated the contracts, declaring Worlding a defaulting contractor due to its failure to meet guarantee requirements.

“When a bidder fails, as in this case where their guarantee did not meet the government’s standards, the process is canceled, the contractor is declared in default, and the matter is referred to Sercop,” Manzano stated in an interview with Teleamazonas.

These three contracts were part of eight emergency procurement processes launched in September 2024 by Ecuador's state-run electricity corporation, Celec.

Lack of Expertise

Worlding S.A., established in November 2016, specializes in road construction, tank assembly, pipeline and pump installation, and oil platforms, according to its website. No information regarding experience in power generation is listed.

Based in northern Quito, the company has a capital of $100,800, with shareholders Salvatore Alacqua Mento (Italian-Venezuelan) and his daughter Francesca Alacqua Mosquera.

Reports from Ecuador’s Superintendence of Companies indicate that Worlding previously worked on the fire protection system for

the Mirador mining project’s substation but has no public procurement experience since 2020, as revealed by PRIMICIAS in a November 2024 report.

Clean Energy Projects

Minister Manzano acknowledged a rise in energy demand, reaching 11%, up from a previous average of 4%. She attributed the 2024 blackouts to poor management by previous administrations.

Manzano announced that by January 15, 2025, the Villonaco III wind energy project in Loja, contributing 110 MW, will be signed. She also mentioned progress on the El Aromo photovoltaic project

and improvements to electricity regulations to attract more renewable energy investments.

The government is also working to expand clean energy to remote areas, with plans for photovoltaic energy at public institutions like Quito’s Baca Ortiz pediatric hospital. For the first time, areas like Atahualpa now have public lighting, and the Quito Electric Company has installed solar panels where traditional grid access was unavailable.

New Procurement Process

Fabián Calero, Celec’s former manager, had projected that new generation equipment would be operational by early 2025. However, the plans have shifted.

Manzano confirmed that Celec launched a new process to replace one of the canceled contracts with Worlding, specifically for leasing dual-fuel thermal power generators in Pascuales (Guayas) for 260 MW, valued at $104 million. Proposals were received by January 5, 2025.

Additionally, two new processes for generator procurement in Durán (Guayas) and Esmeraldas will add 272 MW, replacing the other two Worlding contracts.

Unlike before, these processes will now be government-to-government, targeting potential agreements with the United States and Canada. Manzano explained: “We are inviting these governments to participate. We have specific business agreements for energy rental or purchase with Celec.”

https://www.primicias.ec/economia/cortes-luz-contratos-megavatios-worlding-manzano-87167/?fbclid=IwZXh0bgNhZW0CMTEAAR3vspk0xqn0ttu8qnqBZd2SfkyEkNDMs0kL-QJPguqW4wsPhu9QjnrhGRQ_aem_uauqjCDYzrkIukWs0dITNQ