en.Wedoany.com Reported - Uruguay's state-owned power company (UTE) has decided to relocate its first 30-megawatt photovoltaic plant, originally planned for Baigorria in the department of Durazno, to Río Negro. The decision stems from a judicial appeal filed against the tender and the need to accelerate the incorporation of new generation capacity within the current five-year term. UTE Vice President Roberto Bentancor stated that the company still plans to develop solar projects in Baigorria in the future.

Bentancor explained that the decision was based on issues of deadlines and administrative feasibility. "With the judicial matter still unresolved, we had to modify the tender documents and quickly launch the project in Río Negro; otherwise, we would not be able to deploy the approximately 600 megawatts of capacity we aim to complete within this five-year term." He revealed that the Río Negro project has already received environmental approval, and UTE expects to begin construction shortly. "The tender for the Río Negro project will be released this week, and we expect to complete the project next year."

The controversy originated from Durazno Department Governor Felipe Algorta questioning the construction of the plant in Baigorria and filing an appeal with the Administrative Litigation Tribunal. According to the departmental government, the area has tourism potential, and the siting of the photovoltaic plant could affect this development. Bentancor denied that the change was due to political disagreements or a "capricious" decision. "It is not a matter of caprice," he said, noting the project's urgency is linked to expected growth in electricity demand and the potential construction of new data centers in Uruguay. "People are now accustomed to having electricity. In generation, you must invest continuously because the country is growing."

Bentancor added that UTE has not abandoned the initial plan for Durazno, and Baigorria will remain part of the renewable energy expansion strategy. "We will return to Baigorria, we will eventually complete the project in Baigorria." According to the original scheme announced last March, the plant would also include an innovative financing mechanism allowing retail investors to participate starting from US$200 through capital market instruments, aiming to channel domestic savings into energy infrastructure projects.

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