Honduras’ National Electric Power Company (ENEE) has officially launched International Public Tender No. LPI 100-010/2021 with the goal of contracting up to 1,500 megawatts (MW) of firm capacity, plus a 10% reserve margin, through new power generation plants under a Build, Operate and Transfer (BOT) model. The contract term will be 15 years.
This tender, supported by resolutions from the Electric Power Regulatory Commission (CREE), will enable the incorporation of new renewable and non-renewable generation technologies to ensure the long-term supply of electricity to the national grid, in line with the Indicative Generation Expansion Plan (PIEG).
Technology distribution and rollout timeline
ENEE has set a maximum share of 76% for non-renewable sources and a minimum of 24% for renewable sources, provided that the total does not exceed 1,500 MW plus the reserve margin.
The proposed commissioning dates are as follows:
- Second half of 2027: 800 MW (up to 630 MW non-renewable, at least 170 MW renewable).
- First half of 2028: 300 MW (up to 290 MW non-renewable, at least 10 MW renewable).
- First half of 2029: 400 MW (up to 220 MW non-renewable, at least 180 MW renewable).
How will proposals be selected?
The award process consists of two stages: technical evaluation and economic evaluation.
Technical evaluation:
Only proposals that meet all technical requirements will move on to the next stage. Key criteria include:
- Power plants must be brand-new, use state-of-the-art technology, and have never been previously used.
- Renewable energy projects (e.g., solar or wind) must include energy storage systems to ensure a reliable supply.
- Bidders must submit detailed technical and financial studies, including investment capacity, relevant experience, and required permits.
- Each project’s feasibility to safely connect to the national power grid will be assessed.
Economic evaluation:
Technically compliant proposals will enter a reverse auction, where bidders compete by lowering their prices. Contracts will be awarded to those offering the lowest total cost of energy and firm capacity for the country.
The economic model considers:
- Price per kWh (energy) and price per kW-month (capacity).
- Operations and maintenance costs.
- Fuel costs (for thermal technologies like natural gas or bunker fuel).
- Ability to deliver power during peak demand hours.
This process enables ENEE to secure competitive contract terms while ensuring that end-user electricity prices remain fair and sustainable.
Key dates in the tender process
- Technical offer submission: December 2025.
- Economic evaluation: January 2026.
- Award announcement: February 2026.
- Contract signing: May 2026.
