President of CRE RL highlights the CAEE and urges structural decisions to avoid a large-scale energy crisis in Bolivia…
ISSUE 142 | 2025
Raúl Serrano
“…private capital has not been able to develop significant projects in the energy sector, something considered essential for structural change.”
Alejando Durán Rek, president of the Rural Electrification Cooperative (CRE RL), opened the traditional Annual Energy Dinner (CAEE) 2025 with a call to action in the face of the imminent energy crisis in the country, focusing on natural gas dependency and the lack of investment in renewable energies as central themes of the night’s debate and reflection.
“the CAEE is one of the most anticipated events by the national energy community because it provides a valuable opportunity to engage with business leaders in the energy sector and gain insights from specialists on critical energy topics necessary given the reality our country faces.”
He stressed the urgency of making structural decisions to avoid a large-scale energy crisis in Bolivia and highlighted that energy institutionality, the central theme of the event, is a matter of public interest that must be addressed with the seriousness it deserves especially as the country stands on the brink of an energy crisis stemming from other crises, such as economic, social, and political. He reaffirmed that the event has become a platform for reflecting on Bolivia’s energy future.
INSTITUTIONALITY
“The institutionality of the energy sector is not merely a technical issue but a matter of public interest, whose neglect could further worsen the economic, social, and political crisis the country faces,” said the president of CRE RL.
He clarified that opening the country’s energy sector and making modifications and adjustments in energy institutionality must undoubtedly involve joint participation from both the public and private sectors. To date, private capital has not had the opportunity to make significant investments in this area something considered essential for structural change. “Only in this way can we find solutions that our society requires,” he affirmed.
He noted that energy outlooks, aimed at avoiding a crisis, will depend on urgent measures adopted by the government in the short and medium term. He added that these measures must take into account the decline in natural gas production currently supporting the country and the imminent need to import this critical fuel.
“We know that the installed capacity for thermal generation using natural gas is around 70%, followed by hydroelectricity and renewable energies such as solar, wind, and biomass,” Durán said, emphasizing that electricity generation in our country is highly dependent on natural gas. He stressed that one of Bolivia’s critical challenges is the sustained decline in natural gas production, urging its consideration as a central item on the economic agenda.
MODERN REGULATION
In this context, he highlighted the need for modern regulations that incentivize investment, especially in renewable sources. Bolivia, he recalled, has a high hydroelectric potential that remains largely untapped. He added that subsidized gas prices continue to hinder the development of alternatives like solar and wind, and that simply lifting these subsidies would boost the entry of renewables into the country’s energy matrix.
He proposed gradually phasing out these subsidies in a planned way to avoid affecting consumers and allow for greater integration of clean energies into the national energy matrix. The message from the president of CRE RL was clear: “Reforms must be gradual and sensitive, considering the delicate economic situation faced by the Bolivian population.”
CAREFUL PLANNING
During the inauguration, the vision of the Rural Electrification Cooperative (CRE) highlighted the need for careful planning under a different management model, currently constrained by regulations from the Authority of Electricity and Nuclear Technology (AETN). Within this framework, Durán Rek announced that CRE will review its planned investments due to an increase in banking commissions, which have reached around 150%, raising financial costs.
Despite these difficulties, he assured that the cooperative guarantees the stability and quality of electricity service in Santa Cruz, reminding that the institution operates in 14 of the 15 provinces of the department and distributes nearly 50% of all electricity consumed in Bolivia.
Finally, the official described the event as an opportunity to articulate different perspectives and experiences from the state, private, and academic sectors. With this spirit of collaboration and openness, the Annual Energy Dinner (CAEE) 2025 was officially inaugurated, with the shared hope that the country will overcome its current crisis and advance toward a more sustainable and resilient energy model. The event’s central theme was “Energy institutionality in times of economic crisis: regional perspectives and the Bolivian case.”
“…the vision of the Rural Electrification Cooperative (CRE) generally emphasized the need for careful planning under a different management model…”
