The Inter-American Development Bank (IADB) and the Andean Development Corporation are in the due diligence stages of respective loans of up to US$31.5mn and US$23.7mn to Colombia’s state transmission company ISA for the construction of three lines in Bolivia.
In June 2003, ISA won a 30-year concession to build and operate three 230/69kV transmission lines: Santivanez-Sucre (248km), Sucre-Punutuma (188km) and Carrasco-Urubo (168km). Total construction costs are US$79mn, and the difference between that figure and the US$87.3mn which ISA bid is accounted for by financing and administrative costs.
Last September, ISA was considering a US$20mn bond issue on the Bolivian market, as well as multilateral loans, to help finance the lines. The company eventually decided against the issue because of unfavourable market conditions but doesn ‘t rule that out at some point in the future.
The government approved the environmental studies for the three lines two months ago and preparatory work is now in full swing. The line routes have been chosen, substation design is in progress, equipment is being purchased, with all of it expected to be in Bolivia by September. Preliminary civil construction has also started.