Argentina provinces end 25-year energy conflict with $17 billion project

A landmark agreement between the governors of Argentina's Chubut and Río Negro provinces promises to end a quarter-century-old energy dispute with a significant infrastructure investment. Governors Ignacio Torres of Chubut and Alberto Weretilneck of Río Negro signed a pact to bolster the region's energy grid, including the construction of a 33 kV underground power line connecting the "El Coihue" and "Golondrinas" transformer stations.

This project, set to commence within 15 days, is expected to dramatically improve the regional electrical system and the quality of power supply. Governor Torres hailed the agreement as "historic," emphasizing its role in resolving a long-standing conflict. He praised Río Negro's governor for his "institutional commitment" to an undertaking that will fundamentally transform the electrical infrastructure for the entire Comarca Andina region.

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the agreement is part of a debt that the Río Negro government maintained with Chubut for more than 25 years, since the construction of the first Gasoducto Cordillerano.

Historically, areas like Lago Puelo were plagued by frequent power cuts. The new infrastructure, including the "El Coihue" transformer station and the 33 kV line to "Golondrinas," completes a vital energy scheme. This initiative aims to permanently end the power supply issues that have plagued the Comarca Andina for decades.

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Until a few years ago, Lago Puelo was mentioned as the 'national capital of power outages,' but we started with a very important project like the El Coihue Transformer Station, the 33 kV line, and the Golondrinas Transformer Station.

Governor Weretilneck acknowledged that the agreement addresses a "debt" Río Negro owed Chubut since the construction of the first Cordillerano Gas Pipeline. He recalled how the previous provincial government had failed to uphold that agreement, leading to a judicial battle that reached the Supreme Court of Justice. The current resolution marks a successful effort to settle the matter amicably.

The $17 billion investment is part of Chubut's broader energy infrastructure transformation plan. This specific project involves a 26-kilometer underground cable, replacing the need for power generation from the El Bolsón Thermal Power Plant. Alongside other strategic projects, Chubut's total energy infrastructure investment is projected to reach $30 billion, aiming to ensure reliable public services, stimulate economic growth, and enhance the quality of life for thousands of families in the region.

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