Less rainfall for hydroelectric power, combined with higher prices for the generation of thermal energy (diesel fuel) threaten to raise electricity rates more than expected this year. For the first and second quarters of 2014, the Regulating Authority of Public Services (ARESEP) has approved two temporary rate hikes. However, if rainfall is less than normal, then more rate adjustments will be necessary.
In 2013, Costa Rica consumed 1,196 gigawatts (GW) of thermal energy from fossil fuels, which accounted for 13 percent of all electricity produced during that period. This year, ICE is planning an expenditure of ¢64.78 billion ($130.6 million) to generate electricity with fossil fuel.