Economy Minister Luis Caputo announced on Thursday that the resumption of work on the Jorge Cepernic hydroelectric dam in Santa Cruz province is imminent. Caputo confirmed the news on his X account, stating that the construction “could be completed by 2030” and is expected to “contribute 1,860 GWh to the Argentine Interconnected System.” The project experienced a significant standstill in December 2023, coinciding with President Javier Milei’s assumption of office, primarily attributed to a lack of funding. The construction of a second, larger dam, designated as Néstor Kirchner, has also been halted.
In January, the provincial government of Santa Cruz declared its intention to secure a loan of US$136 million from China to finalize the ongoing projects, contingent upon the establishment of new technical and economic terms. The Economy Ministry stated that the works were tendered in 2013 and were scheduled for completion in 2023; however, they encountered issues such as breaches of contract, failure to adjust prices in accordance with rising costs, and a growing number of complaints. The statement indicates that approximately US$5 billion in investment remains necessary to finalize the dam and its larger counterpart, the Néstor Kirchner.
Claudio Vidal characterized the initiative as “one of the most important [works] in the country” during his announcement on X, noting that 150 workers are currently undergoing medical examinations to join the company in the near future. “It’s a project that will generate genuine employment, economic activity, and new opportunities for our people,” he asserted. The dams are situated 115 kilometers to the west of Puerto Santa Cruz. Prior to the 2023 pause, operations had also been suspended during the administration of President Mauricio Macri; however, they were reinstated under President Alberto Fernández.
The project commenced in 2015 under the auspices of Gezhouba, a construction and engineering firm in China, predominantly owned by the Chinese government. Current estimates indicate that the construction of the Jorge Cepernic dam is over 40% complete, whereas approximately 20% of the work on the Néstor Kirchner dam has been accomplished.