• Home
  • Politics
  • Health
  • World
  • Business
  • Finance
  • Tech
  • More
    • Sports
    • Entertainment
    • Lifestyle
What's Hot

US retirees blow nearly $1 of every $3 on a single expense — here’s what it costs you each year

August 2, 2026

Kansas’ data center boom is shaking up the governor’s race

August 2, 2026

I Think China and Russia ‘Helping Iran’, Might Not Be ‘Significant’ Help

August 2, 2026
Facebook Twitter Instagram
  • Contact
  • Privacy Policy
  • Terms & Conditions
Sunday, August 2
Patriot Now NewsPatriot Now News
  • Home
  • Politics

    Kansas’ data center boom is shaking up the governor’s race

    August 2, 2026

    UNEARTHED INTERVIEW Reveals Wisconsin’s Dem-Socialist “Abolish ICE and Prisons” Frontrunner for Governor Admits to Being Diagnosed With Bipolar Disorder, Cutting Herself On Purpose, Spent Time in Psychiatric Hospital

    August 2, 2026

    Nutcase James Talarico Tries to Suggest the Bible Requires the Passage of a Government-Run Healthcare System (VIDEO)

    August 2, 2026

    President Trump Announces Perimeters of Peace Deal with Iran Has Been Agreed To – Halts All Planned US Airstrikes on Iran

    August 2, 2026

    ‘They Hate America and Jews, They Just Can’t Say it Out Loud’ (VIDEO) * The Gateway Pundit * by Mike LaChance

    August 2, 2026
  • Health

    On Peptides, FDA Staff Scientists At Odds With Advisory Panel

    August 2, 2026

    Thousands Of Seniors May Lose Medicare Advantage As Plan Exits Escalate

    August 2, 2026

    Medicare’s GLP-1 Bridge Demo Offers Access, But Isn’t Straightforward

    August 1, 2026

    Four In Five Toddler Foods Are Ultra-Processed, New Study Finds

    August 1, 2026

    Trump Administration Ends Program that Kept Medicare Premiums Down

    August 1, 2026
  • World

    I Think China and Russia ‘Helping Iran’, Might Not Be ‘Significant’ Help

    August 2, 2026

    Trump’s Threat To Push Ahead On Settlement Fund Injects New Uncertainty Into Attorney General Talks

    August 2, 2026

    Ancient Mummy DNA Reveals Colonization Spread Smallpox

    August 2, 2026

    U.S.-Saudi Consortium Plans $5 Billion Oil Refinery Away from Strait of Hormuz

    August 2, 2026

    Marjorie Taylor Greene Marries Brian Glenn In Las Vegas

    August 2, 2026
  • Business

    ATF Rule Could Cause Classic Showdown Between Mom And Pop Shops Versus Online Retailers

    July 10, 2026

    Costco Shows That You Can Build A Thriving Business With One Simple Trick (Pay Your Workers)

    July 9, 2026

    The Agency Elizabeth Warren Built Now Advances Trump’s Agenda

    July 9, 2026

    Meta To Shell Out Billions For New AI Data Center Outside US

    July 9, 2026

    How Big Banks Are Scheming To Jack Up Your Fees

    July 8, 2026
  • Finance

    US retirees blow nearly $1 of every $3 on a single expense — here’s what it costs you each year

    August 2, 2026

    Nearly 75% of new homeowners spend $10,000 on surprise repairs within 2 years — and some never budgeted for them

    August 2, 2026

    Rates a bit lower than last week

    August 2, 2026

    Brookfield Infrastructure Partners Q2 Earnings Call Highlights

    August 2, 2026

    J.P. Morgan drops Fed rate bombshell over Warsh, inflation

    August 2, 2026
  • Tech

    White House Uses Anti-ICE Rapper Bad Bunny’s Music for Deportation Montage

    August 2, 2026

    NewsGuard Backer Publicis Buying AdTech Company that Pitched Blacklists as ‘Anti-Racism’ Tool

    August 2, 2026

    China Eyes Limits on Foreign AI Access as America Weighs Its Own Restrictions

    August 1, 2026

    Silicon Valley Is Falling Out of Love with Anthropic AI

    August 1, 2026

    WSJ Reports That Tesla Wants to Divest China Operations to Facilitate SpaceX Merger, Elon Musk Calls It ‘Fake News’

    August 1, 2026
  • More
    • Sports
    • Entertainment
    • Lifestyle
Patriot Now NewsPatriot Now News
Home»Finance»Rivers of Influence: How Droughts and Chinese Investment Shape Ecuador’s Energy Crisis
Finance

Rivers of Influence: How Droughts and Chinese Investment Shape Ecuador’s Energy Crisis

December 20, 2024No Comments6 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Rivers of Influence: How Droughts and Chinese Investment Shape Ecuador’s Energy Crisis
Share
Facebook Twitter LinkedIn Pinterest Email

For the past three month, the Ecuadorian government has been struggling to combat droughts within the Mazar and Coca rivers. These droughts are occurring due to El Nino, forcing Ecuador’s mainly hydroelectric system to enforce rolling blackouts and power cuts for extended hours throughout the country. Although Ecuadorian President Daniel Noboa recently announced an end to blackouts for the holidays, the crisis has not been solved. 

Droughts are the main cause of these blackouts, yet another factor may be exacerbating the issue: under-performing hydroelectric dams built by China’s state-owned enterprises (SOEs). 

Presently, China’s SOEs have built or currently operate eight hydropower plants in Ecuador accounting for approximately 2,500 megawatts in max production when combined – a third of Ecuador’s total energy sector. At least three of these hydroelectric sites are on rivers facing critical drought conditions.

On the Mazar River, the Sopladora and Mazar plants are being heavily affected by El Nino. The Sopladora hydroelectrical plant, although owned by the Ecuadorian state firm Hidropaute, was constructed by China Gezhouba Group, with operations starting in 2016. The facility cost $500 million to build, with 85 percent being funded from the Export-Import Bank of China. The total capacity for the site is 487 megawatts. As of September 5, the Sopladora plant was only running at 16 percent of its total output. While drought conditions no doubt is the main culprit, additional reports suggest that Gezhouba didn’t properly train the Ecuadorian workers to maintain the plant. It has been estimated that the worker ratio of Ecuadorians to Chinese nationals is 8 to 2, with the Chinese expats having more important and, in turn, higher paying positions.

See also  Stocks making the biggest moves after hours: NXPI, WHR

Also under drought conditions is the Mazar-Dudas hydroelectric plant along the Pindling and Mazar river, producing 21 megawatts of power. The project was built by the China National Electric Engineering Company (CNEEC) in 2011 and construction was funded by the China Development Bank for $41.6 million. Operations started April 2015. The plant was built in a protected zone of the Dudas-Mazar forest, but it had minimal environmental impact since it is a smaller dam. Yet with the current droughts occurring, any intervention of water flow made by these dams will cause greater impacts on the hundreds of species of flora, fauna, and wildlife within the protected forest.

The Coca River is also suffering, impacting the Coca Codo Sinclair dam, currently running at 59 percent production out of its 1500 megawatts capacity. This single plant produces 35 percent of Ecuador’s total electricity. However, the faults are not new with this facility. Proposed by the Ecuadorian government in 1976, the dam did not begin construction until 2010 when the China Export-Import Bank covered more than half of the cost with a $1.68 billion loan to the Ecuadorian government. The dam was constructed by Sinohydro, another of China’s SOEs, at a total cost of $2.6 billion. 

Throughout the course of constructing and managing the facility, Sinohydro has faced 14 civil suits and 80 labor claims. Additionally, this dam was built near an active volcano, causing more than 7,500 cracks to the structure. Yet the most notable issue is the consistent corruption linked to the Coca Codo Sinclair dam. Almost every top Ecuadorian official involved in the project’s construction has been imprisoned or sentenced on bribery charges. 

See also  Breaking: Ukrainian energy company executive involved in alleged Biden bribery scheme has secret recordings of Hunter and Joe, Sen. Grassley says

Presently, Ecuador is facing a grave issue in dealing with droughts and other weather phenomenon from El Nino, causing rolling blackouts throughout the region. Yet even before these problems, the country’s hydropower sector already had attracted widespread controversy due to China’s involvement. Green energy investments are part of Beijing’s agenda to grow its economic engagement in the region. For China, Ecuador is an attractive ally within Latin America: It is a Pacific country that can help ensure food security for China and also has sizable copper reserves. 

Beijing has become increasingly reliant on food imports as the Chinese mainland holds less than 10 percent of the planet’s arable land. China has been a net importer of food since 2004 especially in soybean, corn, wheat, rice, dairy products, edible oils, sugar, meats, and processed foods. In May 2023, Ecuador and Beijing heightened economic ties with one another by signing a free trade agreement that especially targets agricultural products for tariff reductions. The free trade agreement has the potential to increase bilateral trade by $3-4 billion over 10 years. 

Additionally, Ecuador seeks to grow its copper industry, which China has ties in. China’s SOEs are currently operating two mines in Ecuador, which produce approximately 290,000 tons of copper exported to China annually. This includes the Mirador copper-gold mine, owned by Ecuacorriente, a subsidiary of the Chinese consortium CRCC-Tongguan. The mine is set to produce 85,000 tons a year of copper, gold, and silver.

Overall, investments within key mining, infrastructure projects, and agriculture will increase China’s leverage over Ecuador. Yet these gains have been continually corroded due to poor management by Chinese companies, especially in the hydroelectric sector. 

See also  Bank of America CEO warns inflation will back Fed into a corner

Ecuador’s leaders must balance strengthening economic ties with China while protecting their country’s sovereignty. However, there are steps that can be taken to reduce the risk.

First, Ecuador can continue to diversify its partners. In February 2024, the U.S. Army Corps of Engineers met with Ecuadorian government officials from the Electric Corporation of Ecuador (CELEC) to discuss managing sediment erosion in the Coca River Basin. More interactions of this kind could provide greater understanding and help Ecuador improve its resilience to future droughts – or, conversely, flooding or intense rainfall affecting the region.

Ecuador can also consider alternative energy sources. As of 2021, 79.1 percent of all energy generation in Ecuador was coming from hydropower. Wind power contributed only 0.2 percent of all energy generated. With the rapid degradation in hydropower supply due to erosion and climate factors, wind power or other alternative energy sources could be more effective.

 It costs $1.3 million per megawatt for a wind turbine to create power. Commercial wind turbines have a capacity of 2-3 megawatts and offshore capacity can be as large as 16-18 megawatts. Compare this to the Coca Codo Sinclair dam: it cost $2.6 billion to create a max capacity of 1,500 megawatts, yet 1,500 megawatts in wind turbines would only cost 1.9 billion. With much of the eastern side of Ecuador having open land, it may be a worthy investment to create more wind turbines. 

Overall, these solutions may grant autonomy for both short- and long-term health of Ecuador’s environment and to combat any further climate crisis. 

Chinese Crisis Droughts Ecuadors energy Influence Investment Rivers shape
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

US retirees blow nearly $1 of every $3 on a single expense — here’s what it costs you each year

August 2, 2026

Nearly 75% of new homeowners spend $10,000 on surprise repairs within 2 years — and some never budgeted for them

August 2, 2026

Rates a bit lower than last week

August 2, 2026

Brookfield Infrastructure Partners Q2 Earnings Call Highlights

August 2, 2026
Add A Comment

Leave A Reply Cancel Reply

Top Posts

Major Asset Manager Is Investing US Cash Into China’s Military-Industrial Complex: REPORT

October 12, 2023

Wrestling Legend Adrian Street Dead At 82

July 31, 2023

Chris Wallace Swiftly Pulls Brakes On RNC Chair’s Biden Vacation Concerns

July 16, 2023

10 Coolest New Gadgets 2022 | You Should Have

February 13, 2023
Don't Miss

US retirees blow nearly $1 of every $3 on a single expense — here’s what it costs you each year

Finance August 2, 2026

Envato Moneywise and Yahoo Finance LLC may earn commission or revenue through links in the…

Kansas’ data center boom is shaking up the governor’s race

August 2, 2026

I Think China and Russia ‘Helping Iran’, Might Not Be ‘Significant’ Help

August 2, 2026

On Peptides, FDA Staff Scientists At Odds With Advisory Panel

August 2, 2026
About
About

This is your World, Tech, Health, Entertainment and Sports website. We provide the latest breaking news straight from the News industry.

We're social. Connect with us:

Facebook Twitter Instagram Pinterest
Categories
  • Business (4,399)
  • Entertainment (6,037)
  • Finance (4,433)
  • Health (2,645)
  • Lifestyle (1,904)
  • Politics (4,086)
  • Sports (4,994)
  • Tech (2,462)
  • Uncategorized (4)
  • World (6,082)
Our Picks

Clarence Thomas’ History with Unreported Wealthy Connections Exposed

July 10, 2023

Biden Admin To Give $375 Million Loan To Schumer-Supported Firm

March 2, 2023

Farage Vows £300m Increase for Police Taskforce Against Grooming Gangs

June 2, 2026
Popular Posts

US retirees blow nearly $1 of every $3 on a single expense — here’s what it costs you each year

August 2, 2026

Kansas’ data center boom is shaking up the governor’s race

August 2, 2026

I Think China and Russia ‘Helping Iran’, Might Not Be ‘Significant’ Help

August 2, 2026
© 2026 Patriotnownews.com - All rights reserved.
  • Contact
  • Privacy Policy
  • Terms & Conditions

Type above and press Enter to search. Press Esc to cancel.