Hurrican Agatha caused the river to overflow, flooding the construction site at the place where they were preparing to build a concrete structure.
An article in Laprensagrafica notes: "Luis Mendez, head of the Superintendency of Electricity and Telecommunications (SIGET), explained that in early May, the Executive Hydroelectric Commission of Rio Lempa (CEL) submitted for consideration the plan to to allow time to evaluate the procedures and understandings related to the project between the self regulatory body and the Italian construction company, Astaldi. The project was contracted as a "turnkey project" (meaning that the design or contract cannot be changed). "
The problems detected could lead Cel and the Astaldi consortium, responsible for the project, to submit for international arbitration.
The faults which threaten the foundations of the dam were detected after Storm Agatha, halting all works at the site.
The Executive Committee of the Lempa River Hydroelectric Plant (Cel) and the Italian consortium Astaldi, before heading for arbitration, hired an international expert to determine who has the responsibility to cover the additional costs of a possible plant redesign.
The talks to resume work have restarted, the cost is estimated at $19 million.
The dam construction project in the north of San Miguel, El Salvador, could soon see the light soon, after delays lasting more than a year.
The effects of hurricane Agatha and some restrictions in the contract between the Italian construction company Astaldi and the Executive Hydroelectric Commission of Rio Lempa are some of the reasons behind the delays in works.
The BCIE will deliver $31.5 million in March, as an advance for a loan of $162 million, for the start of the construction of the dam El Chaparral.
La Prensa Grafica publishes in its website: "The project will cost $219 million, of which BCIE will contribute 74%, that is to say, $163 million. The remainder $56 million will come from the CEL. The BCIE loan has a time period of 20 years, with an annual interest rate of 6.5%.
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