
Like in other countries, Bolivia’s electricity sector consists of the National Interconnected System (SIN) and off-grid systems (known as the "Aislados"). The Bolivian electricity market is strictly divided into three fields: generation, transmission, distribution. One company is not allowed to work in more than one of this fields.
Bolivia had an estimated installed generating capacity of 1,365 MW in 2012 and produced an estimated 7.375 billion kWh in 2013. Hydroelectric power plants with a nameplate capacity > 20 MW. Thermal power plants with a nameplate capacity > 80 MW. Bulo Bulo was built by a joint venture of NRG Energy, Vattenfall, and Pan American Energy LLC.
While urban areas such as La Paz and Santa Cruz are modern cities with a relatively good supply of modern energy services, the majority of Bolivia’s rural areas are still experiencing a lack of most basic services, including reliable and affordable access to electricity and improved biomass cookstoves.
The Bolivian electricity market is strictly divided into three fields: generation, transmission, distribution. One company is not allowed to work in more than one of this fields. However there is an exception for off-grid systems. Most of the electricity companies have been nationalized.
Thus the national electrification rate in 2014 was 88% with currently 98% in urban areas and only 57% in rural areas (accoding to the Bolivian Statistics Institute). Furthermore, 43% of the rural population uses biomass fuels for their daily cooking and heating needs.
The Bolivian government’s efforts to improve delivery of energy services to the poor have been quite intensive in recent years. First, the broad energy sector reform programme that comprised among others the privatisation of state utilities, was implemented in the mid-1990s.
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