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Caribbean & Central America - May 2014 (ISSN 1741-4458)

Central American energy interconnection just a step away

Honduras and Guatemala have successfully linked their respective energy networks, allowing the two countries to transfer electricity from one to the other. This means that just one more step is now needed to establish a fully interconnected Central American electricity network as envisioned by the Sistema de Interconexión Eléctrica de los Países de América Central (Siepac)- a long sought objective that could help six of the seven countries that make up the Central American isthmus reduce their energy production costs, optimise their resources and create a more competitive sub-regional energy market capable of attracting foreign investment (see sidebar).

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