«Priority of priorities: solving the problems of electricity generation» was the title of the Cuban Presidency’s report on the most recent podcast (the 31st) From the Presidency, where the First Secretary of the Central Committee of the Communist Party of Cuba, Miguel Díaz-Canel Bermúdez, addressed the current national situation, referring to such a sensitive and urgent issue as electricity generation. The President, accompanied by the Minister of Energy and Mines, Vicente de la O Levy, as well as Alfredo López Valdés, Director General of the Unión Eléctrica, spoke about the possible solutions.
ACN publishes the full transcript of this exchange below.
«The government is working today with one priority above all the infinite priorities of the socialist state committed to the people; and that priority is precisely the solution to the problems of electricity generation». So said the President of the Republic of Cuba, Miguel Díaz-Canel Bermúdez, in the most recent podcast (the 31st) Desde la Presidencia.
The Head of State commented on the need to talk about the issue, not only because of what it means in terms of resolving the greatest obstacle, right now, to the well-being of the people, but also, he said, because the functioning of the National Electro-Electrical Energy System (SEN) «depends on the functioning of our economy, which is weighed down, diminished, almost paralysed in many activities because we cannot have the necessary service to attend to the economy and also serve the citizens».
In the space for reflection, the dignitary was joined by the Minister of Energy and Mines, Vicente de la O Levy, as well as Alfredo López Valdés, Director General of the Unión Eléctrica de Cuba. We are going to follow up,» said Díaz-Canel, «on an issue that undoubtedly interests the Cuban people today; or we can say that it is the issue that most interests our people; and it has to do with the situation of the National Electro-energy System.
It must be said,» he added, «that in recent days the Round Table (Informative) dealt with this issue at length. But it is also true that this took place on one of the days of the largest deficits. Therefore, an important part of the population was not able to see this Round Table, they did not know everything that was discussed».
The First Secretary of the Central Committee of the Communist Party underlined that «the statements and arguments that were given at the Round Table generated states of opinion, in which we find opinions of all kinds. There is also uncertainty; there are some elements of mistrust; there are some elements of concern; there are also some elements of incomprehension, but I believe that with the answers to some of these questions or states of opinion that are a trend, we can organise the arguments that we are going to present in this podcast».
Comparative and necessary data
In the first moments of the episode, the president shared «some indicators, some variables that I believe may allow for some analysis and reflection». He did so «to address the situation we are experiencing»; and made a comparison between the situation that existed in March, in the last ten days of that month, and the present.
The dignitary exemplified: «The demand on a day in March, in the morning, reached 2580 MW; however, today’s demand has sometimes reached 3,050 MW. That means that the day’s demand grew by 470 MW». The Cuban President pointed out that the more than 3,000 MW «were not usual figures» in the country, for demand in the mornings.
«On the other hand, in those days in March, the availability was 1790 MW; and today we have 1900 MW. In other words, we have a little more availability than at that time. And in the month of March, then, with those demand and availability ratios, the deficit was 827 MW. Today the deficit is 1200 MW. In other words, the deficit has grown, during the day, by 373 MW, which is a considerable increase».
«At night, in March, we had peak demand of 3,250 MW. Today we are at 3,500 – that’s 250 MW more. At night we have had similar availabilities of around 1960 MW at both times. Therefore, the deficit in March, at night, was 1,154 MW; and now we are in a deficit of over 1,600, oscillating between 1,500 and 1,600 MW. In other words, the deficit grew by more than 440 MW.
Vicente de la O Levy added the explanation that, «regardless of the fact that we are entering the summer season, there are some values in the demand of the average timetable, as we call it, that had never been at these values of 3000 MW». He emphasised that «these are extremely high values»; and among the reasons for this, he referred to the difficult situation with liquefied gas.
When there is no liquefied gas,» he said, «demand grows by approximately 200, 250 MW, due to the issue of cooking food. Now, these values are given for several reasons: one is the increase in temperatures, but these values had not been reached. The other is the non-compliance with electricity consumption plans in some organisations, which we have identified. There are exactly 14 OSDEs that do not comply with their consumption and demand plans during the day».
The minister said that «the provinces have been adjusting to their already reduced consumption plans, but Havana has a significant non-compliance in the residential sector; and within the residential sector, the non-state management sector, which are in non-compliance and have an impact on these increases in consumption».
Vicente commented that «there is an incorporation of photovoltaic solar parks, which is being strictly complied with, as planned over time». He spoke of two parks in February; of the incorporation of six parks in March; of five parks in April; and stressed that the «growth in demand and consumption is what has meant that this new incorporation has not been seen».
In addition to the above, he explained that «there is a level of distributed generation, which is affected by fuel», and said that in the government’s plan, which is reviewed systematically on a weekly basis, «the progress of how this programme is going» is not lost sight of. He noted that «a significant amount of distributed generation has been incorporated. We have more than 1000 MW today in distributed generation, technically available».
And we have not been able to use it, the head of state noted.
-We have not been able to use it,» confirmed Vicente, who then went on to say, «Why? If we had that distributed generation, with fuel, plus the parks that we have incorporated today, the day would be totally different, even being able to displace fuel for the night».
The minister also reflected: «If we didn’t have the photovoltaic solar parks; if we didn’t have distributed generation, with the little fuel (available); if we didn’t have the thermal plants that have been recovering – like Céspedes, which came in, which had to be corrected, went out, came back in and is stable at its maximum power with all the parameters on line, in an optimal manner; the blackout during the day would have been the same as the one at night: 1700, 1600 MW (of deficit)».
On opinions on photovoltaic parks
Taking advantage of the explanations that the head of state had already given about the photovoltaic parks, President Díaz-Canel Bermúdez mentioned «some states of opinion that are very critical, or very suspicious, about the investments we have made in photovoltaic solar energy». The president listed ideas that make up these states of opinion and read: «Solar panels already produce more MW, but what are they doing? Why don’t they improve blackouts?»; «How I wish the solar panels would work, to see if we really improve!»; «Several solar parks are inaugurated in the country, but there is no improvement with the current». «It was thought that we were going to improve with the photovoltaic park, but there is no improvement…».
Have the investments in photovoltaic energy meant progress, or not, a correct strategy? Díaz-Canel shared the question with the head of state, who said: «There are concerns, some correct, and some with doubts, because the parks are inaugurated and we continue with the same levels of affectation. First of all, President, we would like to explain – we have explained it on other occasions, in the newspaper Granma we explained it in detail – how the strategy begins, and what platform this strategy is based on».
Vicente referred to times when the island imported 12 million tonnes of fuel; he then referred to the days of COVID-19, when the national territory had eight million tonnes of fuel, of which, he said, five were imported and three were produced domestically.
Those three million tonnes of national production decreased significantly. This was explained by the minister, who also made it clear that it was not only thermoelectric plants that were hit by the lack of financing, «because oil production was also decreasing, and we had to make an analysis and say: if this decrease in oil production continues, there will come a time when we will not even have domestic crude oil for thermoelectric plants. Oil and gas, he said, «are our sovereignty».
It became imperative, he said, «to definitely look for a solution that would go towards fuel reduction. What was the solution? Renewable energies. Among renewable energies, which is the fastest, the one that can be invested in the fastest, the one that can be bought at the door of a factory very quickly because of the production volumes and because the investment processes are faster? Photovoltaics. We are also doing wind power. But it is more expensive, and the investment processes are bigger.
We said: «We are going to start up, in an accelerated manner, in the area of renewable energies». Life,» said Vicente de la O Levy, «is showing recovery.
-And we are going to increase gas production,» added the First Secretary of the Communist Party Central Committee. On that idea, the incumbent said: «Exactly. And the crude oil curve is already starting to rise, the values are already higher than in previous months, and gas has a strategy».
The minister affirmed that «we are going to produce more from drilling, from repairs that are being made; and the strategy was that way, without abandoning the rest, without abandoning, for example, the Supertanker Base – we lost the four tanks in that fire. Today, at the Supertanker Base, the four tanks are being raised.
That base, he said, «is also part of this strategy». And he mentioned essential conditions such as the recovery of oil from Cupet, storage and logistics – «because to provide electricity you have to have logistics» – as well as the issue of energy so as not to be dependent.
To sum up, and in response to the opinion on the strategy of the photovoltaic solar parks, Vicente de la O Levy said: «We do think that the strategy is the right one. We have been inaugurating parks for three months – February, March and April – only three months of park inaugurations. Now, in the month of May, in this last week, we are going to incorporate those for the month of May».
The head informed that «in the month of June another number of wind farms will be added: five more wind farms will be added that are also guaranteed; and in the month of June another thermoelectric capital repair will be added; and then, in the month of July, the wind farms will continue to be added and another thermoelectric plant will be added, and so on and so forth; and we will continue with the wind farms».
What happened to the decrease in fuel imports?
Regarding what happened to the decrease in fuel imports on the island, the Minister of Energy and Mines said in the podcast that this is an issue that needs to be mentioned. In this regard, he recalled that «Venezuela is one of our main suppliers. Venezuela has also been attacked. Venezuela has been boycotted, it has had internal problems…».
-It has been sanctioned, coercive measures have been applied,» said Díaz-Canel Bermúdez. And then the head of state shared the following explanation about the bridges built between Cuba and the Bolivarian Republic of Venezuela: «Together we have found a formula – which does not reach the levels of delivery that we had previously, due to the decrease that they have had at the same time – but together we have found a formula, we are moving forward and finding solutions for the investment process as well».
-We are not going to explain this formula so that they don’t persecute us,» said the president, to which the minister asserted that «here, on this issue, the persecution that exists is also very present».
This is one of the most important characteristics of the intensification of the blockade: financial persecution and energy persecution,» said the head of state.
In our sector,» said Vicente, «we experience this on a daily basis. Today we have operations to carry out, with money, we have the money, and yet (this money) does not reach the suppliers to whom we have to pay». He gave the example of liquefied gas, «which affects us so much in terms of consumption and is a source of discomfort for the population, because a very high percentage of the population relies on cooking with liquefied gas». The minister brought up the boat that the people of Santiago de Cuba see every day: «Since 3 March, we have been unloading liquefied gas. This is a concrete example of persecution of our sector».
«We have had specialists working in thermoelectric plants with our engineers, who have been called on the phone, on their mobile phones, and who closed their tool cases and had to leave; and other specialists who, at the airports, to come to Cuba, in the boarding lounge, turned around because they were called there and told» that they could not go to Cuba, «because they were coming to intervene in one of our units».
President Díaz-Canel said: «Such is the perversity of this blockade that some believe does not exist».
Better planning, and ensuring rationality
«The growth in demand is great,» stressed the director general of the Cuban Electrical Union, Alfredo López Valdés. In this respect, he did not ignore the fact that the temperature factor is important, «but we can act even where it is turned off for 18, 19 hours». The director emphasised the need to implement a restrictive plan for state consumers and other actors in priority circuits, and to control it on a daily basis: «We have the right to ask those who are in the circuit that does not switch off to use electricity rationally».
In this regard, the Head of State stressed: «And here the role that the Energy Councils, both provincial and municipal, must play is important».
Alfredo López reflected that «if we achieve – in July, in August – the combination of improving availability with the availability of fuel and achieving rationality in the use of electricity in the country, this will obviously reduce the number of blackouts, and will allow for rotation, and will allow for planning».
We have to work – he stressed – «to be able to have a little more generation, and to act more on demand; and I believe that both things are possible for the month of July: to have more generation and to act more on demand».
Emphasising concepts
President Díaz-Canel Bermúdez also explained a number of ideas during the podcast: first, the strategy of investing in photovoltaic panels will continue: «Look at the fact that in March – when we had inaugurated only four parks – photovoltaic generation contributed 107 MW/hour. Now photovoltaic generation is contributing 1,437 MW/hour».
In July, the dignitary explained, «we will have more than 500 MW installed in photovoltaic parks, which if we calculate them, for example, at five hours, is more than 2,500 MW/hour that these parks will be generating. Therefore, this strategy has been correct».
«Why hasn’t the impact been seen? Because instead of adding to the generation, it has been covering what was lacking in generation; because we could not use distributed generation due to a lack of fuel.
The Head of State affirmed that «the strategy for the recovery of distributed generation has not failed either»; and in this regard, he recalled that there are now more than 1000 MW of distributed generation available so far this year: «Why is this impact not visible? Because we have not been able to use those 1000 MW due to lack of fuel».
Nor has the strategy of repairs and maintenance in which our thermoelectric plants have been involved failed. At the moment, we have two less plants out of service than at that time, with the possibility that in the summer months, Santa Cruz 2 and 3, Cienfuegos 4, and Renté 5 will also come on line. So, this strategy has also been producing results».
Where do we have to work, asked the dignitary, to then express: «to orient ourselves, first, to lower the high levels of demand that exist both during the day and at night. And I insist: I understand all the temperature problems, and the problems with the power supply as well, but the 3,000 MW of demand at midday peak was not usual in this country».
«Therefore, although one can compare that in May there may be more demand during the day than in March, the levels are skyrocketing. And it has to do with all these problems that we have analysed, but we can work on this, and above all on the basis that we all contribute, that we all have a conscience and a responsibility in relation to consumption».
«And the other thing we have to work on, then, is how we achieve the supply of fuel that allows us to incorporate what we have in distributed generation».
He stressed: «I want to say that this approach and this explanation that we are giving is not a conformist explanation, nor is it an explanation to avoid responsibility. We are only explaining why we are in this situation, and why the impact of the strategy is not yet visible, but with the conviction that we are going to overcome this moment».
What can be improved
The First Secretary of the Central Committee of the Communist Party read out «criteria that exist with the scheduling of blackouts, the distribution of blackouts, the communication problems surrounding the blackout programme and the distribution of blackouts».
Some of the opinions stated: «We are aware of the energy problem the country is going through, but there is no justification for the fact that the blackouts are not scheduled». «We are once again in a situation where the power is turned off without any planning. They need to communicate the timetable for the blackouts so that we can plan ahead, and why are the circuits that should have power according to the plan still switched off?
With regard to these dissatisfactions expressed by the people, the president asked Alfredo López for his assessment, and among other reflections, he stated that «the blackout is the result of a difference between what is being generated at that moment and what is being consumed. What is being generated has a level of uncertainty. The fuel issue has been mentioned here; a machine goes down because our machines, as has been explained many times, are lacking maintenance, the outputs are not planned; and consumption also has to do with factors such as temperatures».
The expert commented that, in reality, «the work can be improved. The work can always be improved. One, he said, has had the opportunity to discuss these things in various provinces, to talk, to see how to improve planning.
«We have to find a way to reduce the blackout. With the reduction of the blackout, with the possibility of programming, we improve». Alfredo said: «Our job is to make demands on our people»; and then he affirmed: «Our directors sometimes don’t sleep (…) and they are there, tied up in the office, trying to plan».
-And many of them have their beds in their jobs, the head of state stressed.
We have to do,» said Alfredo, «what is being explained here, to try to make «the blackout manageable. Well, what we would like is for there to be no blackout, that’s not going to be possible, but for the blackout to be manageable, and then planning can be greatly improved».
The Minister of Energy and Mines, Vicente de la O Levy, emphasised: «There is a principle here, President, as Alfredito used to say: everything is perfectible. When there is a complaint from a province, we immediately go, the Office goes, the management of the Electrical Union goes, the colleagues from the Ministry’s Electricity Department go to see it, and the experience we have gained is that we have always learned things. We are there, always listening to those who are there».
Vicente explained that «they have gone to Granma, they have gone to Cienfuegos, they have gone to Matanzas, they have gone to Pinar de Río, they have gone to Holguín. In other words, they are going to discuss what the problem is, and we all learn. The issue is very complex. Each province has a different characteristic from the other. No province is the same as the other. Consumption is different. The demands are different. The economic situation is different. And there are many variables that, in the end, when the blackouts are so large, they are not manageable».
On the prospects for overcoming the current situation, and on the basis of the population’s opinions, the Minister of Energy and Mines said: «We are working to improve the situation».
And among other reasons, he said: «If we continue to incorporate photovoltaic solar parks; if we incorporate now in June a Renté unit that is scheduled to be incorporated in June; if in July we incorporate another number of photovoltaic solar parks and we incorporate another thermoelectric unit, which is outside; if in August we continue to incorporate photovoltaic solar parks, and we incorporate another thermoelectric unit, (…) the situation will be improving».
«We cannot say, nor can we guarantee, that we will reach zero blackout. This is a strategy – as we said in the National Assembly. It is not a programme for the summer, it is a programme for Cuba to be definitively energy sustainable, this is a government programme that is part of an energy transition, of an energy transition that encompasses much more, that is much bigger».
«We have the greatest strength, (…) which are the electrical workers,» Vicente said. And President Díaz-Canel added: «They have set an example, and have shown tenacity, intelligence, sacrifice…». Everyone,» he said at another point, «is very conscious of the contribution they are making to the country.
On liquefied gas
The president commented to his interlocutors: «It is true that we have spent two and a half months in a very complex situation with liquefied gas, and here the opinion states the following elements: «With this energy deficit, you must see how you organise the gas supply». «There are serious problems with gas. There is a lot of disorganisation», «The gas situation is very difficult and there is no talk about it», among other criteria.
In this regard, Vicente said that «this year there has been a situation with liquefied gas, practically zero. Of all the days that have gone by this year – 150 days – there has been no gas for 117 days; but of those 117 days, 117 days the ship has been parked there, and the people of Santiago have seen it, and sometimes the people here in Havana, but above all in Santiago, because we almost always bring it in through Santiago de Cuba».
«In this case, since the beginning of March, at the end of February, the ship was already there, and we couldn’t unload it, we don’t have financing, they don’t give us payment facilities to pay».
The owner denounced that «the money appears, we have it, and then, in order for it to reach the account of that liquefied gas supplier, the time has come when dozens of days have passed and we have examples that we have spent months with the money there, they return the money. Another way, they return the money…».
On the other hand, Vicente made reference to the fact that «there is national production – liquefied gas comes out of refining – and there was a state of opinion at a certain moment, why Cienfuegos, Sancti Spíritus, the central zone had gas. Well, because we reached a moment when there was a level of refining, liquefied gas was produced, and we said we were going to distribute it in the central zone, and it was distributed a little, it was nothing that covered the demand and the needs of the zone, it was five percent».
The minister affirmed that the vital centres of national production are maintained with liquefied gas. He was talking about hospitals, food processing centres, laboratories, medical equipment: «From the little production we have, we maintain the vital social and economic centres, we maintain them with liquefied gas».
On fake news
In the midst of a very complex scenario, «there are people who lend themselves to spreading false news on social networks». This was denounced by the President, who explained that in the days following the Information Roundtable, which addressed the situation with the SEN, «a piece of news circulated on social networks that said that today at eight o’clock at night – he was referring to the day after the Roundtable – two thermoelectric plants will be deactivated for 18 months, which means 72 hours of blackout in a row, and only four hours of electricity afterwards. That is totally false news.
Díaz-Canel asked Alfredo López to explain why this is false news: «It’s a lie, said the director, we explained that we were working hard to reduce the blackout from July onwards. We have explained that the blackout will not end, but that it can be brought under control, and our people are working day and night».
We are also working,» Alfredo argued, «so that there will be a little more fuel. In other words, there are many things that the country is doing».
«We did say: two and a half, three years, but for the plants that are not here today, that have not been here for a long time – like Felton 2.
The Head of State stressed: «And when we are in a better situation, we will have to provide the systematic maintenance that we were unable to provide in recent years, and the capital repairs that we need, so that we do not fall back into this situation».
Towards the last minutes of the podcast, the president stressed: «I just want to add that the Party, the government and the country are aware of the seriousness of the problem and we are not resting in our search for a solution, as has been recognised here by the minister, and also by comrade Alfredo».
We,» the dignitary emphasised, «are surrounded, persecuted, and also accused by the same people who surround us and persecute every Cuban financial action, but we will not stop working to solve the problems that affect the people; and we will always be ready to answer any questions that arise because that is our duty.