Uruguay is currently seeking to reduce its energy dependence on Argentina. Currently this South American nation imports significant amounts of energy from its neighbour, which is expensive.

The Uruguayan government is planning to increase the capacity of its current rental power sector, according to El Observador.

Last winter, its rental power base produced 200 MW of electricity, with the installation of new rental generators expected to reach 400 MW and thereby reducing the need to buy expensive energy from Argentina.

Between 2005 to 2017, state-owned electricity company UTE will invest $4.4bn in generation, transmission and distribution of energy, La Republica reports.

This investment will include wind farms, biomass and gas-fired power plants.

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